Allen & Overy has advised on a EUR 66 million financing of Azomures to be used for modernizing its plant in Targu Mures, Romania.
Azomures is the main fertilizer producer in Romania. It currently employs over 2700 people and its products are sold on both the domestic as well as European, African, Chinese, Japanese, South American and US markets. The majority shareholder of the company is Ameropa Holding, a privately owned international trader of cereal and fertilizer from Switzerland.
Ceska sporitelna and Ceskoslovenska obchodni banka were the main creditors working in collaboration with Banca Comerciala Romana, which acted as the guarantor. According to a Azomures press release, the financing will allow the fertilizer producer to carry out one of the most important investment projects in the last 30 years, meant to increase the production capacity of the plant from the current 900 tons/day to 1425 tons/day.
The plant upgrade will be carried out by the Czech Chemoproject Nitrogen company, while the new plant will be insured by the Czech state-owned Export Guarantee and Insurance Corporation (EGAP).
According to the joint press-release of Azomures and the three banks, Allen & Overy, together with RTPR Allen & Overy in Romania, advised the creditors in the deal.
