Financing the TANECO construction project of the Refinery and Petrochemical Plants Complex with participation of export credit agencies of Denmark (EKF) and Italy (SACE), announced by OAO TATNEFT and its subsidiary OAO TANECO in December 2011, was awarded with a prestigious title.
One of the most influential structured and trade finance publications - TRADE FINANCE Magazine - named it the Deal of the Year.
The article entitled "A slick operation for Tatarstan" in the March issue of the magazine provides the information on the transaction, stating the following:
The loan was granted by a group of banks in the form of a two tranche "package", the amount of which reached USD219.5 million. Nordea Bank acted as a facility agent for EKF loan in the amount of USD75 million, and it was joined by the banks Sumitomo Mitsui (SMBC) and Societe Generale as the mandated lead arrangers.
Societe Generale acted as the facility agent on the SACE loan in the amount of USD144.5 million, while SMBC and Bank of Tokyo Mitsubishi (BTMU) acted as mandated lead arrangers.
Societe Generale acted as the documentation agent for the facilities, which were signed on November 15, 2011.
Commenting on the deal, Agnes Desсhenes-Voirin, Multisource Director at Societe Generale said: "This was very challenging Societe Generale as the documentation agent. We had less than 45 days to close two separate loan agreement with two different banking pools and two specific ECA programmes. This award outlines the teamwork achieved in delivering the SACE framework agreement and EKF shopping list".
The Royal Bank of Scotland and Bank ZENIT were financial advisers to TANECO and TATNEFT, which also provided guarantee for the loans.
The TANECO Complex of Refinery and Petrochemical Plants is being built in Nizhnekamsk, Tatarstan. Following the completion of the Complex construction the refinery will be able to process heavy oil produced in the region.
The "Deal of the Year" is awarded to the best projects in the sector of the trade and structured finance for the past year by polling market participants.
This award is the result of the great joint effort of TATNEFT and TANECO professionals.
It should be noted that it is not the first time that the transactions of TATNEFT receive recognition and awards. For example, in 2010 Trade Finance Magazine also named the USD1.5 billion loan obtained by TATNEFT in 2009 as, the "Deal of the Year", while Euroweek Magazine recognized it as "the best loan in Central and Eastern Europe".
