Iceland's Landsvirkjun gets USD-200m loan to refinance debt

Iceland-based power producer Landsvirkjun said Wednesday it has obtained a USD-200-million (EUR 183m) multi-currency revolving credit line to refinance a loan facility of the same amount that was due December 2016.

Being Iceland's main power producer, the state-owned company operates hydropower, geothermal and wind power plants and generates about 70% of the country’s total electricity. It plans to use the proceeds from the new credit line for general corporate purposes.

The agreement was signed on December 22, according to the press release. Under its terms, the loan has a three-year tenor with two extension options of one year each.

The facility is provided by Landsvirkjun’s “core relationship banks”, while Barclays Bank Plc, Citigroup Global Markets Ltd, Islandsbanki hf and Merchant Banking, Skandinaviska Enskilda Banken AB serve as coordinators and bookrunners. Arion Bank hf, ING Bank Belgium SA/NV and JP Morgan also took part as mandated lead arrangers.

(USD 1.0 = EUR 0.915)

Choose your newsletter by Renewables Now. Join for free!