Attraction of USD 25,000,000 debt financing for Sadovaya Group

CFS Advisors acted as a sole advisor to Sadovaya Group in connection with arrangement of USD 25,000,000 debt financing from OTP Bank (Ukraine).

The credit facility is to be repaid over 5 years. First tranche of USD 18,000,000 was already disbursed on December 16, 2011.

The proceeds will be directed towards repayment of Sadovaya’s existing short-term borrowings, as well as for financing of the development program at mine Sadovaya, in particular for construction of inclined shaft at Roskoshniy mine field.

Eugene Cherviachenko, Director, CFS Advisors:
“We are happy that our effective cooperation with all project participants allowed us to raise USD 25 million for our Client, despite current difficult situation on the financial markets. This is a further development of our cooperation with Sadovaya Group which started from preparation for IPO in early 2009. In 2010 Sadovaya Group was the first Ukrainian coal company to do an IPO, and today the Company has got the opportunity to raise debt capital (historically unavailable for most Ukrainian coal companies) on the terms comparable to sovereign borrowings of Ukraine”.