Copying and distributing are prohibited without permission of the publisher
MMK Atakas: Steely solution
09 February 2010
European Metals Deal of the Year 2009
Read more:
[mmk atakas]
[project finance]
The $1.727 billion MMK Atakas steel project reached financial close in a fragile commodities market (many steel projects had been delayed or cancelled) and at a time of enormous financial uncertainty – but in that the financing was not alone.
What distinguishes the deal from others is the financial engineering – a hybrid cashflow-based project finance type structure with full recourse to the corporate sponsors, and the bank club and ECA (SACE) taking on an element of merchant risk in the volatile steel sector over a 10 year tenor, in itself a major achievement given the lending climate.
MMK Atakas is a joint venture founded in 2007 between Russia's OJSC Magnitorsk Iron and Steel Works (MMK) and Turkish coal trader Atakas Group for the development of an integrated flat steel making complex at two sites – Iskenderun (southern Turkey) and Kocaeli (western Turkey).
The expertise of MMK in the steel industry inside...
Dear Sir / Madam,
You are unable to view this article because you haven't logged-in. If you have forgotten your password, please click here: http://www.projectfinancemagazine.com/PasswordReminder.aspx
Do more with Project Finance:
Set up your RSS feeds - www.projectfinancemagazine.com/RSS-Feeds.html
Follow us on Twitter - www.twitter.com/projectfinance
Already have an account?
Subscribe
Subscribers have unlimited access to all current and archive content. Start your
subscription today - click on the button below.
Free trial
Taking a free trial will give you access to the current issue for two weeks (excluding
some surveys and articles). Start your free trial today.
