Business
Amendment of existing loan agreements
Amendment of existing loan agreements.
About this update from Evraz Plc
[{"type":"text","content":"\n \nRNS Number : 7136G Evraz Plc 05 March 2018 \n\nAmendment of existing loan agreements \n \nEVRAZ plc (\"EVRAZ\", the \"Company\" and together with its subsidiaries, the \"EVRAZ Group\") announces today that CJSC \"MMC \"Timir\" (\"Timir\"), the EVRAZ Group's 51 per cent. owned subsidiary, has signed certain amendments to its existing loan agreements with AK ALROSA PAO (\"ALROSA\") (the \"Transaction\").\nTransaction highlights\nIn April 2013, EVRAZ acquired a 51 per cent. ownership interest in Timir from Alrosa. Alrosa retained the remaining 49 per cent. of Timir, a joint venture created for the purpose of developing iron ore deposits in the southern part of the Yakutia region in Russia. \nIn May 2010 and February 2011, Timir entered into two loan agreements with Alrosa (the \"Loan Agreements\"), worth 284 million roubles and 2,008 million roubles, respectively. \nOn 05 March 2018, Timir executed documents effecting the following amendments to the existing Loan Agreements with Alrosa:\n· the term of the Loan Agreements has been extended by two years to 25 December 2019; and \n· the interest rate applicable to the amounts outstanding under the Loan Agreements will be reduced from 0.5 per cent. to 0 per cent. \nAll other terms of the existing Loan Agreements remain unchanged. \nPursuant to UK Listing Authority (\"UKLA\") Listing Rule 11.1.4R, Alrosa is classified as a related party of EVRAZ, due to its substantial shareholding in Company's subsidiary, Timir. The Transaction, therefore, constitutes a smaller related party transaction as defined under UKLA Listing Rule 11.1.10R and EVRAZ has accordingly obtained a written confirmation from a sponsor that the terms of the transaction are fair and reasonable as far as shareholders of EVRAZ are concerned.\n \n###\n \nFor further information:\n \nMedia Relations:\nLondon: +44 207 832 8998 Moscow: +7 495 937 6871\[email protected]\n \nInvestor Relations:\nLondon: +44 207 832 8990 Moscow: +7 495 232 1370\[email protected]\n \n\nThis information is provided by RNSThe company news service from the ...