CBM has acted as mandated arranger of syndicated loan for Eurotorg
CREDIT BANK OF MOSCOW (CBM) and Eurotorg LLC signed a RUB 3.5 bln syndicated loan agreement. CBM acted as mandated arranger, initial lender and agent (credit manager). Another key lender is Gazprombank. The syndicated loan consists of 3-year RUB 0.5 bln and 5-year RUB 3 bln tranches.
«CBM works actively with companies from member-states of the Eurasian Economic Union, and offers various forms of financing tailored to the current needs of each customer. In this case, a CBM-led deal will help the company to optimise its debt portfolio. The Bank has been working with Eurotorg for a long time: we had already provided the company with financing for settlements with Russian suppliers and arranged a bond issue. Eurotorg is currently one of the best borrowers in Belarus and a leader in the food retail segment. It goes without saying that we want this cooperation to continue,» noted Alexander Kaznacheev, Deputy Chairman of the Management Board.
«We are pleased to announce that Eurotorg has closed its second successful Russian capital markets deal in 3Q 2019. This transaction marks an important step in diversification of our financing sources and optimising our debt profile. The proceeds will be used for debt refinancing purposes and will extend Eurotorg’s debt maturity profile. The agreement we have signed is the first ever syndicated loan for private corporate borrower in Belarus, and is thus a milestone not only for the company, but also for the entire Belarusian market. Attracting long-term unsecured financing underscores Eurotorg’s strong standing as a reputable, high-quality borrower with a robust strategy, efficient business model and significant potential for future growth,» commented Andrey Zubkov, CEO of Eurotorg.
Eurotorg is the largest food retailer in Belarus with a 19% market share (2017). Its business was launched in 1993 in Minsk. As of 30 September 2018, Eurotorg operated 677 food stores of different formats (hypermarkets, supermarkets and convenience stores) under the brands Euroopt and Brusnichka. Around 970,000 buyers come to its stores daily in 251 settlements of Belarus. The company also develops two leading online grocery business channels: E-dostavka.by and Gipermall.by. In 2018 Eurotorg launched Magia drugstores (67 stores as of 30 September 2018).