Velenje, 14 July (STA) - Home appliances maker Gorenje has taken out a five-year EUR 72m loan with the Austrian subsidiary of Russian VTB Bank. The money will be spent on refinancing to improve the group's debt maturity profile, the company said on Monday.
The loan will not only improve the debt portfolio, it will also help Gorenje cut its overall debt: the target for this year is to deleverage by EUR 25 million.
With planned EBITDA of EUR 93.7m, the net financial debt to EBITDA ratio is to be cut to 3.6 by the end of this year, and to 3.0 by the end of 2015, the company said.
The news comes less than a week after Gorenje secured a seven-year EUR 55m syndicated loan from six banks for investment in new products and expansion to new foreign markets.