Danakali ESG Framework
US$200M senior debt facility
2 leading African development financial institutions, AFC and Afreximbank, have executed documentation to provide
CMSC with US$200M in senior debt finance
To be funded equally by the Mandated
Lead Arrangers
Funds will be used for development and
construction of the Project
Endorsement of the strength of the Project
Key enabler for further funding
requirements
Further step towards completing ground-
breaking project financing in Eritrea
Key terms
Facility type and value
Mandated Lead Arrangers
Credit risk insurance
Borrower
Guarantors
Tenor
Margin Covenants
Availability
Details
•
·
•
Senior secured loan facilities of US$200M
•
AFC and Afreximbank
e
ECIC
•
CMSC
DANAKALI
Danakali, STB Eritrea Pty Ltd (fully owned subsidiary of
Danakali) and ENAMCO
7 years from financial close, based on a scheduled
amortisation profile
8.5% p.a. over 3-month LIBOR
Customary positive, negative and financial covenants
and undertakings for a funding facility of this nature
For a period of up to 24 months after financial close;
and
After satisfaction of all conditions precedent
"The finalisation of debt funding for Colluli brings it one step closer to making a significantly positive impact on the Eritrean economy
and its people. Colluli has the potential to significantly boost the Eritrean economy while providing benefits to Eritreans through
improved agricultural productivity, training and employment"
Berhane Habtemariam, ENAMCO General Manager and Eritrean Minister of Finance
Source: DNK announcement, 5-Aug-19View entire presentation