22 August 2013
Origin executes $7.4 billion syndicated loan facility
Origin Energy Limited (Origin) today announced the successful execution of a $7.4 billion bank loan facility with a syndicate of domestic and international banks.
The bank loan facility has terms of four and five years and will mature in August 2017 and August 2018.
Origin has entered into the facility, which is more than sufficient to refinance all existing bank debt, to establish the Company’s funding position post Australia Pacific LNG. Origin’s standard banking terms, which date back to 2004, have been replaced with new terms that reflect the current scope and size of the business, providing financing flexibility for the long term and further extending the Company’s debt maturity profile.
The interest cost of the new bank facility is consistent with the cost of the existing bank debt.
Origin Executive Director, Finance and Strategy, Ms Karen Moses said, “Execution of this substantial facility demonstrates continued strong support for Origin by domestic and international financial institutions.”
The new bank loan facility is underwritten by ANZ, Bank of America Merrill Lynch, Goldman Sachs, J.P. Morgan and UBS.
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- Reflects a total purchase price of $659 million net of the expected balance of prepaid capacity charges and funds on deposit with the NSW Government of $609 million at completion, which is expected in Q1 FY14. The deposit balance and pre-paid capacity charge amount reflects the remaining balance of funds for future capacity charges paid by Origin to the State when it entered the GenTrader Arrangements in March 2011.
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