Menu Close

Credit agreement between PROCHEM S.A. and mBank S.A.

Home page Investor relations Current reports Credit agreement between PROCHEM S.A. and mBank S.A.

Credit agreement between PROCHEM S.A. and mBank S.A.

Date of publication: 30.12.2016

The Management Board of PROCHEM S.A. (hereinafter referred to as the “Issuer”) informs that on December 29, 2016, it received signed documents from mBank S.A. based in Warsaw, under which the bank granted the Issuer the right to use, within a maximum limit of PLN 24,000,000, the following products:

  1. Documentary credits without prepayment, with a final expiry date of the documentary credit until April 28, 2020.
  2. Guarantees with a validity period of up to 36 months from the issuance date, with a final validity date of the guarantee until April 28, 2020.
  3. Current account credit in PLN currency, up to a maximum amount of PLN 6,000,000, with the final repayment date of the credit until June 30, 2017.
  4. Revolving working capital loans in PLN currency, intended for financing current operations, up to a maximum amount of PLN 6,000,000, with the final repayment date of the credit until June 30, 2017.

The collateral for the Bank’s receivables from the Issuer, resulting from the provision of the above products, consists of:

a) 5 (five) blank promissory notes issued by the Issuer relating to the issued guarantees, b) registered pledge on 8,874 shares of the subsidiary company PREDOM Sp. z o.o., with a total nominal value of PLN 443,700, owned by the Issuer’s subsidiary – Prochem Inwestycje Sp. z o.o., c) registered pledge on 176,455 shares of the subsidiary company Elektromontaż Kraków S.A., with a total nominal value of PLN 882,275, owned by the Issuer’s subsidiary – Prochem Inwestycje Sp. z o.o., d) blank promissory note issued by the Issuer, avalized by the subsidiary company Elektromontaż Kraków S.A.

The remaining terms on which the above credit products have been made available do not differ from commonly used terms for such agreements. There are no other connections between the Issuer and persons managing or supervising the Issuer and mBank S.A. or persons managing it, other than standard banking services provided by mBank S.A. to companies within the Issuer’s Capital Group. The Credit Agreement is a significant agreement due to the fact that the total value of the limit granted by mBank S.A. amounts to PLN 24 million, which exceeds 10% of the Issuer’s equity.