TMK gets up to three-year prolongation of VTB Bank loan facility

Russia's largest oil and gas pipe producer TMK has announced that Russian stated-controlled bank VTB has agreed to prolong the maturity of its $450 million facility up to three years.
 
Accordingly, the facility, used to fund a partial buyback of TMK's 2011 loan participation notes, was initially provided in August 2009 for a period of one year, and included an option to extend the maturity for up to five years. On February 2, 2010, VTB agreed to prolong the facility to provide for a maturity of three years from the initial extension, with an option to extend the maturity up to five years from the initial extension.
 
"As a next logical step in the development of our mutually beneficial partnership with VTB Bank, this prolongation significantly improves the maturity structure of the company's loan portfolio," TMK CEO Alexander G. Shyryaev commented.