31st Mar 2009 08:36
Rurelec PLC
("Rurelec" or "the Company")
Incremental Bolivian Bond Placing and Line of Credit
Further to Rurelec's announcement of 24th March, Rurelec's Bolivian 50.01 per cent. owned subsidiary, Empresa Guaracachi SA, confirmed today that it has increased the size of the final tranche of its current unsecured bond issue as a result of very strong demand for the bonds. The issue has been increased from US$19,200,000 of bonds to US $ 20,342,000. The bonds have a twelve year maturity and are rated AA+ by Pacific Credit Ratings. They were placed with Bolivian financial institutions by BISA Bolsa. The annual interest coupon is 9.75% and principal is repaid in three equal installments in years 10, 11 and 12 of the bond's life.
Guaracachi has also announced that it has agreed a new line of credit with Banco Ganadero in the amount of USD 4,970,000. This loan carries an interest rate of 9.75 per cent for the first year and then a margin of 6.5 per cent over Effective Referential Interest Rate (TRE) for the remaining years. TRE is the average weighted interest rate in the Bolivian banking system of all 180 days time deposits. The TRE rate as of today is equal to 3.3 per cent. The loan has a maturity of 5 years. The Banco Ganadero facility effectively brings to a successful close the project financing programme for Guaracachi's 96 MW combined cycle conversion project which is expected to enter commissioning at the very end of 2009.
For further information, please contact:
Peter EarlManaging Director Tel. 020 7793 5610
Paul Shackleton / Stewart DickDaniel Stewart & Company Tel. 020 7776 6550
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