Almaty Airport to Take Out $670 Million Loan
Photo: Orda.kz
Almaty International Airport will borrow up to $670 million. The collateral package will include a 100% stake in the airport, funds held in bank accounts and rights under insurance contracts, Orda.kz reports.
According to the Financial Reporting Depository, the financing was approved on July 16. The package will consist of a $650 million term credit line and a $20 million revolving facility.
Most of the money will be used to repay existing loans obtained by the airport and related companies in 2021 from the European Bank for Reconstruction and Development, the International Finance Corporation, Germany’s DEG and the Eurasian Development Bank.
The airport also plans to repay intercompany loans, cover an arrangement fee, finance modernization under the Horizon project and meet operating expenses.
The total amount of the loan under the credit agreement is up to $670 million,the shareholder resolution states.
The interest rate on the term facility will be Term SOFR plus a 2.75% annual margin. The terms of the revolving facility will be agreed upon before each drawdown. The entire loan must be repaid by June 30, 2033.
The collateral will also include rights under insurance and reinsurance contracts, money held in bank accounts and claims arising from foreign agreements. The parties will also sign interest-rate hedging and intercreditor agreements.
The financing comes as Turkish holding TAV Airports prepares to buy the remaining 15% of Almaty Airport from VPE Capital for $133 million.
We have reached an agreement to acquire the remaining 15% of Almaty Airport shares for $133 million,TAV Airports CEO Serkan Kaptan said.
TAV currently controls 85% of the airport. Once the transaction is completed, it will become the sole owner.
TAV and the Kazakhstan Infrastructure Fund acquired Almaty Airport in 2021. The Turkish company received an 85% stake for $415 million, while the fund, managed by VPE Capital, acquired the remaining 15%.
Original author: Saule Abdykamit
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