https://www.engineeringnews.co.za

Buildmax restructures Diesel Power’s debt facility

31st July 2015

By: Natasha Odendaal

Creamer Media Senior Deputy Editor

  

Font size: - +

Opencast mining contractor and construction materials supplier Buildmax has successfully restructured the debt-funding model of its subsidiary Diesel Power.

Major lenders Absa, Nedbank and Standard Bank have agreed to reschedule the company’s asset-based funding commitments and restructure its transactional banking facilities.

A R220-million term loan, which would be amortised over 45 months and repayable in equal quarterly instalments, would replace the  current asset-based funding facilities.

The term loan would refinance any outstanding asset-based funding commitments and reduce the current overdraft facility, converting certain current debt obligations to noncurrent.

Further, the banks advanced a R16-million bridge financing facility, repayable on September 30.

“This debt restructure has strategic alignment, significantly improves the working capital position of the company and amortises conservatively and congruently with the remaining life of the assets that form part of the security pool,” Buildmax said in a statement to shareholders.

Edited by Creamer Media Reporter

Comments

Showroom

Weir Minerals Africa and Middle East
Weir Minerals Africa and Middle East

Weir Minerals Europe, Middle East and Africa is a global supplier of excellent minerals solutions, including pumps, valves, hydrocyclones,...

VISIT SHOWROOM 
Rentech
Rentech

Rentech provides renewable energy products and services to the local and selected African markets. Supplying inverters, lithium and lead-acid...

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Magazine round up | 19 April 2024
Magazine round up | 19 April 2024
19th April 2024

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







sq:1.788 1.857s - 137pq - 2rq
Subscribe Now