RCS - Vivo Energy Limited - Refinancing of Credit Facilities

Pan African ResourcesAnnouncement

08/06/2023 13:15

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RNS Number : 1094C  Vivo Energy Limited  08 June 2023

8 June 2023

Vivo Energy Ltd

Refinancing of Credit Facilities

 

Vivo Energy Investments B.V., a subsidiary of Vivo Energy Ltd ─ a
market-leading, pan-African retailer and distributor of high-quality fuels and
lubricants using the Shell and Engen brands ─ has successfully completed the
refinancing of its credit facilities.

 

Vivo Energy has secured a new US$ 700 million facility split across a US$ 400
million 5-year term loan and a US$ 300 million 3+1+1 year revolving credit
facility.

 

The facilities will be used to (i) refinance the US$ 600 million bridge loan,
drawn on 13 October 2022, with an initial term of 12 months and two
three-month extension options (ii) refinance Vivo Energy's US$ 270 million
revolving credit facility, that matured in May 2023 and (iii) for general
corporate purposes.

 

Commenting on the announcement, Jay Gleacher, CFO, Vivo Energy said: "Closing
the refinancing of our credit facilities not only strengthens our financial
position, but also provides us with enhanced flexibility and terms, allowing
us to execute our growth strategy of maximising value, accelerating growth and
evolving our business model.  The trust and confidence shown by our banking
partners reaffirms our shared belief in the long-term potential of Vivo
Energy, and the value we bring to our stakeholders."

 

The facilities were arranged by Citi, HSBC and Société Générale as
Mandated Lead Arrangers and Bookrunners. Standard Bank, Standard Chartered,
ABSA and RMB joined as Mandated Lead Arrangers and Natixis and Sanlam joined
as Lead Arrangers.

 

Additionally, and further to our announcement of 9 February 2023 regarding
Vivo Energy's combination with Engen to create a pan-African champion, we are
pleased to announce that Standard Bank and Rand Merchant Bank have been
appointed as Joint Mandated Lead Arrangers, Underwriters and Bookrunners for
an acquisition finance facility to fund part of the transaction.

 

Up to ZAR10 billion is expected to be drawn down from this facility, with the
remainder of the purchase consideration being funded with equity from our
shareholders.  The transaction is currently pending regulatory approvals and
fulfilment of conditions precedent.

 

ENDS

 

For further information, please contact:

Issam Sadiq

VP Finance: Treasury

+212 522 437 501

issam.sadiq@vivoenergy.com (mailto:issam.sadiq@vivoenergy.com)

 

Rob Foyle

Head of Communications

+44 7715 036 407

rob.foyle@vivoenergy.com (mailto:rob.foyle@vivoenergy.com)

 

About Vivo Energy:

Vivo Energy operates and markets its products in countries across North, West,
East and Southern Africa. The Group has a network of over 2,600 service
stations in 23 countries operating under the Shell and Engen brands and
exports lubricants to a number of other African countries. Its retail offering
includes fuels, lubricants, card services, shops, restaurants and other
non-fuel services. It provides fuels, lubricants, liquefied petroleum gas
(LPG), and solar energy solutions to business customers across a range of
sectors including marine, mining, construction, power, transport, wholesalers
and manufacturing. The Company employs around 2,800 people, has access to over
1,000,000 cubic metres of fuel storage capacity and has a joint venture, Shell
and Vivo Lubricants B.V., that sources, blends, packages and supplies
Shell-branded lubricants.

 

For more information about Vivo Energy, please visit www.vivoenergy.com
(http://www.vivoenergy.com)

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