ArcelorMittal receives underwriting commitments for a new $3 billion credit facility

Kolkata: ArcelorMittal on Thursday said it had received underwriting commitments in respect of a new $3 billion credit facility.

While the world’s largest steelmaker said it has no immediate need to draw upon this facility, it will provide the company “additional financial flexibility in the current extraordinary circumstances,” according to an official statement.

The credit facility represents a new commitment from BNP Paribas, Crédit Agricole Corporate & investment Bank, J.P. Morgan and Société Générale. It enhances the company’s already strong liquidity position of $10.5 billion as of 31 December 2019, including a €5.5 billion revolving credit facility, which remains undrawn and is fully available until December 2024.

The new credit facility will have a maturity of 12 months and can be used for general corporate purposes, the statement added. While the company said it has “no immediate need to draw on this new credit facility, it will provide additional financial flexibility in the current extraordinary circumstances.”