MKB finances KAMA TYRES’ tyre business
Credit Bank of Moscow (MKB) has joined a syndicate to finance Nizhnekamsk Solid Steel Cord Tyre Factory Ltd., a tyre division of Tatneft Group, KAMA TYRES. The other participants of the syndicate are ZENIT Bank and Russian Regional Development Bank.
The parties have signed a RUB 10 bln syndicated loan agreement with MKB’s share of RUB 3 bln (30%). The proceeds will be utilised to upgrade the export-oriented production facilities of Nizhnekamsk Solid Steel Cord Tyre Factory. This investment project lies within the framework of Government Decree No.191 dated 23.02.2019 "On State Support for Industrial Companies Carrying out Corporate Competitiveness Enhancement Programmes".
"We are glad to take part in this project, which is a milestone financing transaction for MKB under corporate competitiveness enhancement programmes and another step in developing our relationship with Tatneft and Nizhnekamsk Solid Steel Cord Tyre Factory. I am sure that the proceeds of the facility will allow the company to bring its production capacity to even higher levels," noted Alexander Kaznacheev, Deputy Chairman of the Management Board.
Nizhnekamsk Solid Steel Cord Tyre Factory LLC forms part of tyre division of Tatneft Group, KAMA TYRES, and is the largest manufacturer of truck tyres in Russia and CIS. Its product portfolio includes 112 items: 80 Kama/Kama Pro solid steel cord tyres and 32 Kama conventional tyres. The distribution covers the largest car manufacturers – KAMAZ, NEFAZ, GAZ, PAZ, Ural, IVECO-AMT, LiAZ, Remdizel, KAVZ, and Tverstroymash. Tyres are also exported to CIS and other countries. The companies under the corporate brand KAMA TYRES are managed by MC Tatneft-Neftehim Ltd.