Australia's APA completes A$1bn loan facility
Australian energy infrastructure business APA Group has raised A$1bn ($720mn) of unsecured debt via a syndicated loan facility, the company said on June 8.
“Strong support from more than 20 new and existing financiers enabled APA to increase the size of the offering from A$500mn to A$1bn,” the company said. The loan syndicate includes leading Australian and Asian banks.
The new facility comprises two equal tranches of five and seven-year tenor. Both tranches are swapped into fixed rates with the overall cost broadly in line with the existing average cost of debt, APA said.
APA said the proceeds of the offering will refinance the variable debt used to fund the acquisition of Basslink debt, contribute to funding its growth projects and for general corporate purposes.
APA delivers approximately half of Australia gas usage and connect Victoria with South Australia and New South Wales with Queensland through its investments in electricity transmission assets. It is also one of the largest owners and operators of renewable power generation assets in Australia, with wind and solar projects across the country.