KLM finalizes a new 575 million euro revolving credit facility
KLM today signed a 575 million euro revolving credit facility with 10 international banks, finalizing the early refinancing of its credit facility which was due to mature in July 2016.
The facility has a tenor of 5 years and shows improved terms compared to KLM’s existing facility. The transaction was launched at 500 million euros and KLM took advantage of the oversubscription to increase the facility to 575 million euros.
The syndicate includes 10 leading banks. ABN AMRO and ING bank acted as coordinators. Citigroup, DBS Bank, Rabobank, and Industrial and Commercial Bank of China joined the transaction as Early Bird Bookrunning Mandated Lead Arrangers. Bank of China, BNP Paribas, Crédit Agricole Corporate and Investment Bank and Groupe Crédit Mutuel-CIC participated in this credit facility. Rabobank was also appointed Facility Agent.
After the early renewal of the Air France credit facility that was achieved at the end of April, Air France – KLM now has at its disposal undrawn credit facilities amounting in total to € 1.845 billion.
The successful renewal of the KLM Revolving Credit Facility is an important element of KLM’s financing strategy, and as such supports the Air France-KLM Group financing structure. KLM will continue to restore profitability through an acceleration of its Perform 2020 plans. We are grateful that the participating banks continue their commitment towards KLM.