27th Jun 2007 07:01
Afren PLC27 June 2007 Afren plc (AIM: AFR) Over subscription of debt facility syndication London, 27 June 2007 - Afren plc ("Afren" or the "Company") announces that BNPParibas, the Mandated Lead Arranger of a fully underwritten US$200 million debtfacility to finance the Okoro Setu Project has closed syndication. The Board of Afren is delighted to announce that syndication on the US$200million debt facility to finance the Okoro Setu Project has successfully closedand was significantly over-subscribed by a diverse syndicate of internationalbanks. The syndicate, led by BNP Paribas, consists of Calyon, Guaranty Trust Bank ofNigeria, KBC Bank, Natixis and Standard Bank plc. The Facility islimited-recourse and has been secured against the Okoro Setu Project reserves,which have been independently certified by Netherland Sewell and Associates. Together with the recent successful US$65 million equity placement, that wasalso oversubscribed, the Company remains on track to deliver 15,000 to 20,000bopd by mid 2008. Osman Shahenshah, Chief Executive of Afren, commented: "I am very pleased to see that the financial community has shown such confidencein Afren's flagship development project, its strategy and future growthprospects. This is further endorsed by the fact that BNP Paribas, Standard Bankand Calyon have chosen to take equity stakes in Afren, thereby participatingacross Afren's capital structure. "Given our focus on working with indigenous companies in Nigeria and developingthe region's resources, I am also delighted to see strong local backing for theproject through participation from the Guaranty Trust Bank of Nigeria." 27 June 2007Enquiries: Afren plc +44 20 7182 1800Osman Shahenshah Chief ExecutiveEvert Jan Mulder Chief Operating OfficerGalib Virani Investor Relations Jefferies International Limited +44 20 7618 3500Toby HaywardJack Pryde Tristone Capital Limited +44 20 7399 2480Simon Ashby-RuddMajid Shafiq Pelham Public Relations +44 20 7743 6673James HendersonAlisdair Haythornthwaite Background on Syndicate Banks BNP Paribas - Mandated Lead Arranger Headquartered in Europe, BNP Paribas has one of the largest internationalbanking networks with 95,000 employees operating in over 85 countries across theworld, holding leading positions in several financial segments in theMiddle-East, Africa and Asia and being a major international player in theUnited States. BNP Paribas' market capitalization is €81.81 billion with total assets of €1.44trillion as at the end of 2006. Calyon Calyon is a wholly-owned subsidiary of Credit Agricole S.A. which is in turnpart of the Credit Agricole Group, the 6th largest banking group worldwide interms of shareholder equity, with a market capitalization of €46.9 billion andtotal assets of €1.38 trillion as at the end of 2006. Guaranty Trust Bank of Nigeria Guaranty Trust Bank plc is one of Nigeria's most profitable and fastest growingbanks. It is rated AA- (double A minus) by Fitch; and BB- (double B minus) byStandard & Poor's, the best ratings assigned by the two international ratingagencies to any Nigerian or West African-based bank. In 2006 total assets andcontingents increased to approximately €3.7 billion. It has stated its ambitions to undertake big ticket financing projects withinand outside the country and recently became the first Nigerian institution sincethe early 1990s to enter the international capital markets and raise funds in aRegulation S Eurobond issue with a $300 million Eurobond issue. KBC Bank KBC Bank is one of the top ten largest financial institutions in the EuropeanUnion. It is part of the KBC Group, headquartered in Belgium and quoted on theEuronext stock exchange with a market capitalisation of €35 billion and totalassets of more than €325 billion. Natixis Natixis is a key player in the banking sector in France and Europe, offering arange of services including corporate and investment banking, operating in 68countries and supporting the development of large businesses, SMEs andinstitutions. Natixis' market capitalization is €21.9 billion with total assetsof €583 billion in 2006. Standard Bank plc The Standard Bank Group Limited ("Standard Bank") is Africa's leading bankingand financial services group, with assets of approximately US$139 billion andover 42,000 employees in 39 countries across the globe. Standard Bank's principal international investment banking subsidiary isStandard Bank Plc whose main activities involve sourcing and structuring capitalmarkets, and trade and project-related transactions. It also provides advisory,financing, hedging and commodity trading services. Afren Afren (www.afren.com) was founded in December 2004 by a management teamincluding Dr Rilwanu Lukman, Chairman, and Osman Shahenshah, Chief Executive,with the vision to become the premier pan African independent Exploration andProduction company. Since its listing on the AIM market of the London StockExchange, Afren has rapidly expanded its portfolio and the management team hasdelivered ten assets in the Joint Development Zone of Nigeria Sao Tome andPrincipe, Nigeria, Gabon, Angola and Congo Brazzaville. Afren will continue to add to its diversified portfolio of near term developmentand high impact exploration with the overall objective of creating substantialshareholder value. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
AFR.L