R/€ = 15.73 Change: 0.00
R/$ = 13.84 Change: 0.00
Au 1281.42 $/oz Change: -12.44
Pt 794.99 $/oz Change: -8.87
 
 
R/€ = 15.73 Change: 0.00
R/$ = 13.84 Change: 0.00
Au 1281.42 $/oz Change: -12.44
Pt 794.99 $/oz Change: -8.87
 
 
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Sibanye retains favourable debt covenant

11th January 2019 BY: Marleny Arnoldi
Creamer Media Online Writer

JSE- and NYSE-listed Sibanye-Stillwater on Friday announced that all lenders of its dollar and rand revolving credit facilities (RCF) have agreed to retain the upper limit of the RCF until December 31.

The RCF comprises 13 South African and international banks. The upper limit of the RCF is net debt: adjusted earnings before interest, taxes, depreciation and amortisation of 3.5 times.

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The previous limit on the RCF was initially scheduled to reduce from 3.5x to 2.5x from December 2018.

The extension of the covenants at higher limits will provide Sibanye with additional flexibility at a time when the group expects more operational stability and continuing value creation from the entry into the platinum group metals sector.

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Sibanye’s next major debt repayment is only due in mid-2022.

“The extension of the existing RCF covenant limits on the same terms as before, is a significant vote of confidence in the fundamental outlook for the group by our 13 lending banks.

“The headroom resulting from the extension provides sufficient financial flexibility and should provide the market with additional confidence,” remarked CEO Neal Froneman in a statement. 

EDITED BY: Chanel de Bruyn Creamer Media Senior Deputy Editor Online
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