Eltek secures NOK 1.3 billion refinancing plan
(Thomson Reuters ONE) -
(Drammen 6 July 2011) Eltek has received and accepted a committed facility offer
and term sheet from Nordea for a refinancing of the Group's bank debt. The new
facilities amount to NOK 1.3 billion, including a NOK 800 million five-year
reducing revolving facility, a NOK 400 million two-year revolving overdraft
facility, and a NOK 100 million committed guarantee line. The refinancing
substantially improves the Group's financing structure and financial
flexibility.
-The strategic direction and operation changed with the divestment of Nera
Networks in the beginning of the year. Together with the banks, we have worked
to find a good new financing package that enables us to pursue our growth
opportunities in both telecom and the new business initiatives in renewable
energy and e-mobility over the coming years, says CFO Pål Skistad in Eltek ASA.
The new facilities will be used for general corporate purposes, including
refinancing of existing outstanding bank debt and bank guarantees amounting to
approximately NOK 800 million. The new five-year NOK 800 million reducing
revolving facility has an 18 month grace period and a NOK 400 million bullet.
-The combination of larger credit facilities and a more favourable repayment
schedule improves our liquidity and financial flexibility compared with our
current financing structure, says Skistad.
The margins of the credit facilities will vary with the leverage ratio (gross
interest-bearing debt / Ebitda) but are for all ratios improved compared with
the current financing. Eltek will from the outset be in compliance with all
financial covenants, which include a minimum equity ratio of 25 percent and a
leverage ratio covenant declining from 4 times until the third quarter 2012 to
3 times from the third quarter 2014.
The new financing is dependent on the signing of a final Loan Agreement,
although all material information is covered and described in the received and
accepted committed facility offer and term sheet.
For further information, please contact:
CEO Jørgen Larsen, Eltek ASA, tel: +47 905 27 930
CFO Pål Skistad, Eltek ASA, tel: +47 908 50 378
About Eltek ASA
Eltek is a strategic technology partner within power solutions through Eltek
Valere, and a regional supplier of transmission systems, satellite
communications and infocomm systems through Nera Telecommunications. The
Company reported revenue of NOK 4 billion in 2010, and has close to 2,700
employees in close to 40 countries. Following the divestment of Nera Networks,
Eltek focuses on its core business in telecom power and power electronics
solutions for industrial applications and renewable markets such as solar power
and electric vehicles. Eltek is listed on Oslo Stock Exchange and headquartered
in Drammen, Norway.
This information is subject of the disclosure requirements pursuant to section
5-12 of the Norwegian Securities Trading Act.
This announcement is distributed by Thomson Reuters on behalf of
Thomson Reuters clients. The owner of this announcement warrants that:
(i) the releases contained herein are protected by copyright and
other applicable laws; and
(ii) they are solely responsible for the content, accuracy and
originality of the information contained therein.
Source: Eltek ASA via Thomson Reuters ONE
[HUG#1528691]
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Datum: 06.07.2011 - 08:55 Uhr
Sprache: Deutsch
News-ID 56158
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contact information:
Town:
Drammen
Kategorie:
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