VTB Bank has provided Pipeline Metallurgical Company (PMC) with a RUB 3 billion loan. The deal is a further step for enhancing long-term cooperation between VTB and PMC that has been actively developing since 2005.
The funds raised will be channeled into payment of corporate bond issue. On 24 March 2009, PMC paid the nominal value of documentary interest bearing bonds payable to the bearer (series 02) worth RUB 3 billion and coupon profit for the 8th period worth RUB 113.7 million.
Since 2008 year-end, in order to implement one of VTB's priority tasks aimed at supporting the real sector of the economy the Bank has provided PMC in the name of the Group's managing company and three enterprises with RUB 10 billion loans.
Nowadays, among VTB customers there are nine Russian PMC enterprises and also two of its foreign trade operators. The Bank is developing its corporate business with the company along a diversified range of financial services, including a whole range of banking products to service the Group's foreign trade.
PMC (LSE: TMKS) is a Russia's largest pipe manufacturer and one of three leaders in the world pipe business.
Total volume of pipes produced in 2008 is over 3.2 mln. tonn. PMC delivers its products to more than 60 countries in the world.
PMC production facilities are located in Russia, the USA, Romania and Kazakhstan.