The Stockholm-based Corral Petroleum Holdings has signed a $150 million five-year loan facility, arranged primarily by Credit Suisse First Boston, Deutsche Bank and Arab Petroleum Investments Corporation (Apicorp).
The loan of the Saudi-owned holdings company is divided into two subcontracts: The first is a five-year amortization loan bearing an interest rate of 225 basis points above the Libor rate for the first two years, and 300 basis points above the Libor for the remaining three years. The second includes a five-year bullet term loan bearing an interest rate of 300 basis points above Libor.
The syndication is expected to be finalized by early September.
The main purpose of the funds will be to refinance debt. Repayment is linked to Corral's business in Morocco, which holds a significant stake in Societe Anonyme de l'Industrie de Raffinage (Samir), which operates the country's sole refinery, the MEED reports. — (Albawaba-MEBG)
© 2000 Mena Report (www.menareport.com)
