Overview

ICBC provides $56 million loan to Loma Negra Companía Industrial Argentina S.A. for refinancing purposes

Commitments (Constant USD, 2023)$52,915,471

Commitment Year•2022Country of Activity•ArgentinaDirect Recipient Country of Incorporation•ArgentinaSector•Industry, Mining, ConstructionFlow Type•Loan

Status

Project lifecycle

Completion

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date: Apr 1, 2022

Last repayment (originally scheduled): Jul 1, 2024

Stakeholders

Organizations involved in projects and activities supported by financial and in-kind transfers from Chinese government and state-owned entities

Ultimate beneficial owners

At least 25% host country ownership

Funding agencies

State-owned Commercial Banks

Industrial and Commercial Bank of China (ICBC)

Receiving agencies

Private Sector

Loma Negra Compañía Industrial Argentina S.A.

Guarantors

Private Sector

Intercement Participações S.A. (InterCement)

Loan description

ICBC provides $56 million loan to Loma Negra Companía Industrial Argentina S.A. for refinancing purposes

Grant element•0.8126%Interest rate (t₀)•8.962%Interest type•Variable Interest RateLoan tenor•3-month rateMaturity•2.25 years

Narrative

Full Description

Project narrative

In April 2022, Loma Negra Companía Industrial Argentina S.A. (Loma Negra C.I.A.S.A.) signed a $56 million loan agreement with the Industrial and Commercial Bank of China (ICBC) for refinancing purposes. The loan, which was guaranteed by Intercement Participações S.A. (for up to 51% of its amount), carried an interest rate of 3-month LIBOR plus a 8% margin and a 2.25-year maturity (final maturity: July 2024). The borrower was responsible for making principal payments in three equal installments in January, April, and July 2024. It ultimately repaid the loan ahead of schedule (‘prepaid’) on October 4, 2023.

Staff comments

1. Loma Negra Companía Industrial Argentina S.A. is an Argentine manufacturer and the country's leading maker of cement, concrete, and lime. It is currently a subsidiary of InterCement Participações, a company of the Brazilian conglomerate Mover Participações. 2. AidData has estimated the all-in interest rate by adding 8% to average 3-month LIBOR in April 2022 (1.10555%).