Northam enhances financial flexibility

3rd July 2023 By: Marleny Arnoldi - Deputy Editor Online

JSE-listed Northam Platinum has implemented an agreement to restructure its existing banking facilities, resulting in R11-billion of available banking facilities to the company.

The restructuring involved a R2.4-billion term loan facility being fully settled and cancelled, and an existing R7.1-billion five-year revolving credit facility (RCF) being increased by R2.8-billion.

The R11-billion of available banking facilities also includes a general banking facility of R1-billion that the company has in place.

Northam explains that the term loan has a staggered maturity profile of four equal tranches, starting in February 2026 and ending in August 2027.

The restructuring has, therefore, removed the early staggered maturity profile and enhanced the group’s financial flexibility, with the RCF maturing only in August 2027.