Essar Oil UK, the company that operates the Stanlow refinery at Ellesmere Port, has agreed a deal worth $150m.
The company has completed the financing of a $150m receivables portfolio with Hamburg Commercial Bank AG (HCOB) and Mizrahi Tefahot Bank Ltd (UMTB). This new facility will be used for working capital and general corporate purposes.
It added that the deal will enable it to “strengthen major customer relationships and increase sales volumes through the ability to offer its customers greater financing flexibility”.
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Deepak Maheswari, chief executive at Essar Oil UK, said: “This is a positive step forward. EOUK is building for the future, with ambitions to become the UK’s first low carbon refinery. Serving our customers’ needs and securing competitive financing is critical to this overall objective.”
Satish Vasooja, chief financial officer at Essar Oil UK, added: “We are pleased to complete this important financing and build any relationship with UMTB and HCOB Banks. This financing helps us deliver a part of our capital structure on market standard terms.
“It is a sign of the confidence the banking community has in EOUK and our long-term financial performance, while it will also support our strategy to provide better terms to customers and to increase overall sales volume.”
