Sviaz-Bank set a credit limit for EuroSibEnergo Group entities in the amount of up to RUB 1.8 bln
Sviaz-Bank set an overdraft credit limit for EuroSibEnergo Group entities in the amount of up to RUB 1.8 bln within the framework of its cash-pooling service. The period of credit use is 1 year with possible prolongation of the credit agreement between the Bank and the Group.
The cash-pooling service was developed for large clients with a holding structure. It enables them to reduce the financial costs of credit considerably, to optimize interest expense and income, and to boost the efficiency of the group liquidity management, which will significantly reduce the time and financial expenses of both parties. Sviaz-Bank introduced the service in 2010.
“We have been successfully cooperating with EuroSibEnergo Group for several years already. It is the largest private energy company in Russia and the main producer of power in Siberia. The advanced innovative financial product offered by the Bank will enable the Group to continue its stable development, at the same time reducing the cost of borrowing”, said Sergey Volokhov, Deputy Chairman of the Board of Sviaz-Bank.
“Sviaz-Bank is our long-term reliable partner. The funds that the company raises within the set limit will be used for the company’s current operations, including working capital and cash deficiency financing. This will enable the Group to improve financial flow management and thus reduce the cost of production, which is particularly important during the global economic instability”, said the First Deputy CEO – Financial Director of OAO EuroSibEnergo Vyacheslav Solomin.
Press service of OAO EuroSibEnergo
12 January, 2012
January 12, 2012