Bank of China makes HUF 15.613 billion loan disbursement to MVM Zrt. in 2015 for general corporate purposes

Project narrative

In late 2013, the Hungarian Electricity Private Limited Company (Magyar Villamos Művek Zártkörűen működő Részvénytársaság or MVM Zrt.) — a Hungarian state-owned power company responsible for the production, distribution and sale of electricity — signed a multi-currency, revolving loan agreement (worth EUR 200 million) with the Hungary Branch of Bank of China for general corporate purposes. The organizations had previously signed a EUR 300 million letter of intent agreement on September 9, 2013. The loan carried a maturity of 5 (3+1+1) years. Then, on September 25, 2015, the multi-currency, revolving loan agreement was ‘upsized’ to EUR 250 million. In 2018, the multi-currency, revolving loan agreement was ‘upsized’ again to EUR 350 million and the maturity was extended from 5 years to 7 years. The borrower (MVM Zrt.) made the following drawdowns on the multi-currency, revolving loan agreement between 2014 and 2021: HUF 11.774 billion in 2014 (captured via Record ID#91314), EUR 50 million in 2015 (captured via Record ID#91490), HUF 15.613 billion in 2015 (captured via Record ID#91540), HUF 45.5 billion in 2016 (captured via Record ID#91541), HUF 68.8 billion in 2017 (captured via Record ID#91542), HUF 33.2 billion in 2019 (captured via Record ID#91543), HUF 65.4 billion in 2020 (captured via Record ID#91544), and HUF 66 billion in 2021 (captured via Record ID#91545).