Thomsons advises Austin Engineering Ltd on $190m debt/equity raising

16 January 2014


Thomsons Lawyers’ Brisbane office has advised global mining products supplier Austin Engineering Ltd (ASX:ANG) on a $190m debt and equity raising.

Austin secured a $155m syndicated senior debt facilities agreement comprising a $95m term cash facility to refinance existing senior debt, $40m future acquisition facility and $20m revolving multi option facility. The syndicate comprised three of Australia’s leading banks – Westpac, ANZ and NAB.

Austin also announced in late December that it had successfully raised $30m by way of an institutional placement and was proceeding in January with a further $5m retail equity raising under a share purchase plan.

The funding will be used to fund Austin’s South American business expansion. Austin is the largest non-OEM (original equipment manufacturer) of mining products in the world. It recently announced major long term equipment supply, service and repair contracts with Brazil’s Vale (the second largest mining company in the world) and Chile’s state owned Codelco (the world’s largest copper producing company).