Brief: Norske Skog Enters Into Debt Facility Agreements With An Aggregate Amount Of EUR 265 Million

Norske Skog ASA

12/10/2021 06:05

Oct 12 (Reuters) - Norske Skog ASA  NSKOG.OL :
    * ATTRACTIVE FINANCING OF EUR 265 MILLION SECURED FOR THE
EUROPEAN
    * ENTERED INTO DEBT FACILITY AGREEMENTS WITH AN AGGREGATE
AMOUNT
OF EUR 265 MILLION TO FINANCE ITS EUR 350 MILLION INVESTMENT
    * LENDERS ARE LEADING EUROPEAN BANKS
    * NORSKE SKOG ASA - FIRST CONTAINERBOARD PRODUCTION WILL
COMMENCE
IN BRUCK IN JUST OVER A YEAR
    * NORSKE SKOG ASA - TOTAL FINANCING AMOUNTS TO EUR 265
MILLION, OR
APPROXIMATELY 75% OF EUR 350 MILLION INVESTMENT AMOUNT
    * EUR 193 MILLION IS FOR GOLBEY CONTAINERBOARD PROJECT AND
EUR 72
MILLION FOR BRUCK CONTAINERBOARD PROJECT.
    * FACILITIES WILL BE DRAWN AS CAPEX IS INCURRED
    * NORSKE SKOG ASA - DEBT FINANCING OF EUR 265 MILLION IS
EXPECTED
TO INCREASE NORSKE SKOG'S ANNUAL INTEREST COSTS WITH
APPROXIMATELY EUR 5 MILLION ANNUALLY
    * PRODUCTION OF CONTAINERBOARD WILL COMMENCE DURING Q4 OF
2022 AT
BRUCK INDUSTRIAL SITE AND DURING Q4 OF 2023 AT GOLBEY
    * MACHINES ARE EXPECTED TO OPERATE AT 60-70% UTILISATION IN
FIRST
YEAR AND REACH FULL UTILISATION DURING THIRD YEAR OF PRODUCTION
    * ONCE AT FULL UTILISATION, MACHINES ARE EXPECTED TO
GENERATE
ANNUAL EBITDA OF EUR 70-80 MILLION ANNUALLY

Source text for Eikon:  ID:nObibHcF1a 
Further company coverage:  NSKOG.OL 

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