Newsprint maker Norske Skog has signed another credit facility based on mills sales.
The 25 million Euros loan agreement with Eurofactor (a bank in the Crédit Agricole Group) is based on receivables from the Norske Skog Bruck mill in Austria.
The duration is for a minimum of three years without financial covenants, and the interest cost “competitive compared with similar financing,” president and chief executive Sven Ombudstvedt says.
Under the agreement, Norske Skog will continue to collect the receivables from customers. Norske Skog Skogn, Norske Skog Saugbrugs and Norske Skog Golbey have similar arrangements for a total of NOK 600 million.