TMK inks $1.2bn syndicated loan deal

The Russian pipe producer TMK has signed a loan agreement enabling it to raise up to $1.2bn in a syndicated bridge facility to finance the acquisition of US pipe plants from IPSCO, the Russian company said in a press release. The interest rate will consist of the LIBOR rate plus margin, the size of which will increase throughout the term of the agreement. The loan agreement was signed for 12 months with an option for extending the term by a further three months. The syndicated facility is secured by TMK's subsidiaries. ABN AMRO Bank N.V., Bank of Tokyo-Mitsubishi UFJ, Ltd., Barclays Capital, BNP Paribas, ING Wholesale Banking, Natixis, Sumitomo Mitsui Banking Corporation, and Nomura International plc will act as the lead arrangers for the deal.