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- Downer EDI Limited (DOW) refinances the group’s inaugural $1.4 billion loan facility
- The company initiated the process in September to extend the facility term and take advantage of a reduction in debt margins
- CFO Michael Ferguson says refinancing is expected to reduce total borrowing costs
- Shares have closed down 1.22 per cent at $6.46 each
Downer EDI Limited (DOW) has refinanced the group’s inaugural $1.4 billion sustainability linked loan facility, which was established in December 2020.
DOW uses insights and solutions to design, build and sustain assets, infrastructure and facilities for customers across Australia and New Zealand.
The company initiated the refinancing process in September 2021 to extend the facility term and take advantage of a reduction in debt margins that occurred since the time the facility was originally established.
Downer Chief Financial Officer Michael Ferguson said this was a further example of the group’s financial strength and sustainability credentials, following the recently announced sale of the Open Cut Mining East business.
“The refinancing of this facility is expected to further reduce total borrowing costs,” he said.
“That we have been able to extend the maturity date of the facility and at the same time reduce pricing is very pleasing.”
Shares have closed down 1.22 per cent at $6.46 each on October 21.
