ING Leads $235 Million Expanded Syndicated Financing for Precious Metals Merchant Auramet

Rhea-AI Summary

On August 18, 2020, ING announced it led a $235 million syndicated financing for Auramet, a notable precious metals merchant, with the deal closing on August 7, 2020. This financing, oversubscribed and an increase from a prior $190 million facility, includes a $25 million accordion feature, allowing for future expansions up to $260 million. The partnership emphasizes the strength and demand for Auramet in a challenging market, showcasing ING's long-term relationship and confidence in the commodities sector.

Positive

• ING secured a large oversubscribed financing of $235 million for Auramet, marking a significant increase from the previous $190 million facility.
• The financing includes a $25 million accordion feature, allowing potential growth to $260 million, enhancing liquidity for Auramet.
• The deal demonstrates strong market demand and confidence in Auramet's management and operations in the commodities market.

Negative

• None.

NEW YORK, Aug. 18, 2020 /PRNewswire/ -- ING Capital LLC ("ING") led a $235 million syndicated financing on behalf of Auramet Trading and Auramet International (collectively, "Auramet"), a well-regarded precious metals merchant. The deal closed on August 7, 2020. ING acted as Mandated Lead Arranger, Bookrunner and Administrative Agent. In addition to ING, the lending group included Rabobank acting as Lead Arranger, Macquarie Bank Limited, Brown Brothers Harriman & Co, Mizuho Bank, Ltd, HSBC Bank USA N.A, Bank of China Bank and Bank Hapoalim. The transaction was strongly oversubscribed and a marked increase over the previous facility of $190 million. This new facility includes a $25 million accordion with the ability to increase to $260 million and permits additional bilateral transactional credit facilities up to $50 million outside the syndicated borrowing base deal (which has also been substantially fully subscribed for).

"We are excited to have completed this renewal during these challenging and uncertain times," said Mark Edelstein, CFO of Auramet. "We continue to be impressed with our long-term partnership with ING and the expanded support of our syndicated lending group, which understand the commodities market and the opportunities we see in precious metals this year and beyond."

"ING appreciates the opportunity to lead another facility for Auramet, who has been a valued client over many years," said Matthew Rosetti, Managing Director and Head of Commodity Finance North America at ING. "The strong demand from our syndicate banks - in a very challenging commodity finance market - is further validation of Auramet's strong management team and performance. This added liquidity positions the company well in the metals space."

About ING

ING Capital LLC is a financial services firm offering a full array of wholesale financial lending products and advisory services to its corporate and institutional clients. ING Capital LLC is an indirect U.S. subsidiary of ING Bank NV, part of ING Groep NV (NYSE: ING), a global financial institution with a strong European base. The purpose of ING Bank NV is empowering people to stay a step ahead in life and in business. ING Bank NV has more than 53,000 employees offer retail and wholesale banking services to customers in over 40 countries. Please note that neither ING Groep NV nor ING Bank NV have a banking license in the U.S. and are therefore not permitted to conduct banking activities in the U.S. 

The Trade & Commodity Finance franchise of ING Bank NV services clients from eight global locations and was recently voted the #1 Commodity Finance Bank in the World by GTR.

About Auramet

Auramet is a global physical precious metals merchant with circa $15 billion in annual revenues providing a full range of services to all participants in the precious metals chain, from extraction and production to manufacturing and consumption. Auramet is a private company established in 2004 by a team assembled from the Mining Finance and Corporate Finance divisions of Standard Bank NY. Their business is comprised of three main activities: physical metals trading, metals merchant banking (including an active lending business) and advisory. The company has built a consistently successful and prominent franchise in the metals space on the back of an experienced management team that has proven to be innovative and capable of delivering the highest quality service to participants in the sector.

Press enquiries:
Melissa Kanter
Melissa.Kanter@ing.com
+ 1 (646) 424-7021

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SOURCE ING Capital LLC

FAQ

What is the amount of the syndicated financing led by ING for Auramet?

ING led a syndicated financing of $235 million for Auramet.

When did the financing deal for Auramet close?

The financing deal for Auramet closed on August 7, 2020.

How much has the financing for Auramet increased from the previous facility?

The financing increased from a previous facility of $190 million to $235 million.

What features does the new financing facility for Auramet include?

The new financing facility includes a $25 million accordion feature and allows for increases up to $260 million.

Why is the financing deal considered a positive sign for Auramet?

The financing was strongly oversubscribed, indicating strong demand and confidence in Auramet's business in a challenging market.