The largest power utility company in Slovakia, Slovenske Elektarne AS, is now in discussion with its lenders as it seeks to renegotiate a Eur800 million or US$1.1 billion loan falling due in 2014. Three people confirmed the transaction, as they had knowledge on the matter but spoke on condition of anonymity.
The majority owner of the company is Enel SpA of Italy and it would raise debt through an export credit agency or with commercial banks. There is still no finality as to the structure regarding the credit facility.
The company is based out of Bratislava, Slovakia and its current revolving credit facility would mature by September 2014, according to Bloomberg data. The initial interest margin for the loan type where money repaid is allowed to be loaned again would be 32.5 basis points. This is higher than the benchmark rates provided when the loan was agreed upon by Credit Agricole SA, Intesa Sanpaolo SpA, KBC Bank NV and ING Groep NV back in 2007.
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