LOTOS: Execution of new facility agreement for refinancing of EFRA Project debt together with ancillary facility agreements

Further to Current Report No. 22/2021 of June 14th 2021 concerning voluntary prepayment of the entire debt incurred to finance the EFRA Project by the subsidiary LOTOS Asfalt Sp. z o.o. (“LOTOS Asfalt”), Grupa LOTOS S.A. (the “Company”) announces that on December 28th 2021 LOTOS Asfalt executed:
 

1. a term facility agreement (the “Facility Agreement”) with:
    

1)      Powszechna Kasa Oszczędności Bank Polski S.A. of Warsaw (the facility agent);

2)      ING Bank Śląski S.A. of Katowice,

3)      Bank Polska Kasa Opieki S.A. of Warsaw, and

4)      Bank Gospodarstwa Krajowego of Warsaw,

(jointly: the “Lenders”) whereby the Lenders would grant to LOTOS Asfalt Sp. z o.o. a facility of up to a total amount of PLN 400,000,000 (four hundred million złoty), intended for refinancing of LOTOS Asfalt Sp. z o.o.’s debt under the loan agreement of June 8th 2021 between LOTOS Asfalt Sp. z o.o. as the borrower and Grupa LOTOS S.A. of Gdańsk as the lender in the amount of PLN 400,000,000 (four hundred million złoty), repayable four years after the first drawdown date;

and

 ancillary facility agreements (the “Ancillary Facility Agreements”) with:

1)      Powszechna Kasa Oszczędności Bank Polski S.A. of Warsaw for up to PLN 70,000,000;

2)      ING Bank Śląski S.A. of Katowice for up to PLN 65,000,000; and

3)      Bank Polska Kasa Opieki S.A. of Warsaw for up to PLN 65,000,000

(jointly: (the “Ancillary Facility Lenders”) whereby the Ancillary Facility Lenders would grant to LOTOS Asfalt Sp. z o.o. a facility of up to the total amount of PLN 200,000,000 (two hundred million zloty) for the company’s general corporate purposes. The Ancillary Facilities may be used in the form of: (i) an overdraft limit (for one year from the agreement date) and (ii) letters of credit, guarantees and similar products for four years.

 

Security for repayment of the facilities includes mainly:

• Declaration on voluntary submission to enforcement pursuant to the provisions of the Code of Civil Procedure (in respect of each Lender’s participation in the term facility and separately for the Lenders being parties to the Ancillary Facility Agreements);
• Right of the Lenders being parties to the Ancillary Facility Agreements to set off amounts due thereunder against claims for payment of funds held in operating bank accounts.

The other terms and conditions of the agreements do not differ from standard terms commonly used in agreements of this type.

 Legal basis: Article 17(1) of MAR – Inside information