Conclusion of agreements regarding refinancing the Company's debt

Current report 04/2020 submitted on 10.04.2020 at 15:19

Legal basis: Article 17 (1) MAR – confidential information

ATM S.A. with its registered office in Warsaw (hereinafter: “the Company”) informs that today an agreement was signed regarding refinancing the Company’s debt. The parties to the transaction are the Company (as a borrower) and the banks: mBank S.A. as a loan agent and original lender and Santander Bank Polska S.A. as collateral agent and original lender (“Banks”). The purpose of the transaction is to ensure the long-term financial security of the Company by adjusting the size and structure of financing with external capital to the needs of the Issuer. One of the elements of the transaction is the early repayment of the current debt due to all loans granted to the Company by the banks: mBank S.A. and ING Bank Śląski S.A. The financial debt due to leasing was not refinanced – the Company will repay its liabilities in accordance with the existing schedules.

The loan and guarantee line agreement signed today (“Credit Agreement”) includes:

  • 5-year term loan up to PLN 225,000,000
  • 5-year term loan investment up to PLN 110,000,000
  • 3-year current account loan up to PLN 20,000,000
  • Guarantee line up to a maximum of PLN 10,000,000

In addition, the Loan Agreement provides for transactions hedging against the interest rate risk.

The purpose of the above financing is:

  • Repayment of the entire existing debt (except for leasing)
  • Financing or refinancing up to 80% of capital expenditure
  • Financing the Company’s current operations
  • Issuing guarantees related to the operating activity of the Company

The company predicts that the first funds should be mobilized by the end of June 2020 at the latest.
Due to the transaction in question, the Company will bear the standard costs for this type of contracts, including one-off costs, and will also bear the current costs of debt service – interest on the loan has been determined on the basis of WIBOR 1M rate plus bank margin. Due to the early repayment of the current debt, the Company will incur commission costs for ING Bank Śląski S.A.

Collateral for refinancing transactions will cover the standard for thistransaction type scope, including:

  • Establishment of mortgages on the Company’s real estate
  • Establishing a registered pledge on the Company’s movable assets
  • Establishing registered and financial pledges on the Company’s bank accounts
  • Agreement on global assignment of rights from commercial contracts

The contract does not contain contractual penalties or provisions deviating from the arrangements typical for this type of contract.

Daniel Szcześniewski – President of the Management Board
Tomasz Galas – Vice President of the Management Board