LSR Group (LSE: LSRG; MICEX, RTS: LSRG) and Bank VTB North-West have signed an agreement to open a loan facility worth RUB 5 billion.

The new loan facility will substitute the existing loan facility of ˆ 113.9 million by RBS (formerly ABN AMRO) and HSBC, obtained in March 2008, for cement production equipment.

The final redemption date for the new loan facility - December 2017 - is in fact equal to the one of RBS/HSBS loan.

Elena Tumanova, CFO of LSR Group, comments:
“The replacement of the RBS/HSBC loan facility with the new rouble-nominated loan from VTB North-West is the important step towards the reduction of our currency risks. In the near future we will continue our work to attract long-term financing nominated in roubles to replace our debt nominated in foreign currency.”