fmg debt deal

The rumours of the death of FMG were obviously way overblown.

Debt syndication deal now done. FMG stating strong interest in asset based JV deals which shows the Chinese are still looking to secure supply.

Iron ore price over USD$100 and the AUD droping below 1.05.

The FMG announcement- last paragraph also very interesting.

Fortescue Secures Financial Flexibility

"Fortescue Metals Group (ASX: FMG, Fortescue) announces that it has secured an underwritten commitment for a Senior Secured Credit Facility of up to US$4.5 billion
(“the Facility”). This Facility will be used to refinance all existing bank facilities and provide Fortescue with additional liquidity.
The Facility extends the earliest repayment date for any of the company’s debt to November 2015 and removes financial maintenance covenants which applied under
previous facilities.
Credit Suisse and JP Morgan, two of the world’s leading banks have together signed a
full underwriting commitment for the Facility, providing funding certainty to Fortescue.
The key terms of the Facility include:
Principal amount US$4.5 billion
Maturity 5 years
Guarantors Fortescue and material subsidiaries
Security
Secured over the assets of Fortescue and each material
subsidiary subject, in certain cases, to obtaining third party
consents.
Conditions Documentation and customary adverse change conditions.
In addition, strong interest has been expressed to Fortescue by a range of parties interested in partnering with Fortescue in certain of its assets. Fortescue is currently evaluating these approaches. Transactions of this nature are not required under Fortescue's new debt facilities and will only be pursued if they clearly add shareholder value. The company will keep the market informed as to the progress of these discussions in
accordance with usual disclosure obligations."