GFG Alliance, which has a presence in the domestic steel sector, has raised USD 40 million (around Rs 330 crore) term loan from Eclipse Business Capital in the US.
The amount, which has been raised through group company LIBERTY Steel USA, will be utilised to refinance its existing term loan, GFG Alliance said in a statement on Monday.
"LIBERTY Steel USA has successfully raised a USD 40 million term loan with Eclipse Business Capital to refinance its existing term loan before its maturity in January 2023," it said.
The statement did not divulge further information.
"The refinancing of our term loan and the enhancement of our ABL (Asset-based Lending) with Eclipse Business Capital off the back of strong results this year shows the growing confidence in the future of our business and concludes our current financing needs," Axel Ampolini, Executive Vice President at LIBERTY Steel USA, said.
Martin Battaglia, Chief Executive Officer of Eclipse Business Capital, said: "Our partnership with LIBERTY Steel USA and the improved liquidity and working capital over the last six months have enabled them to capitalise on their excellent brand and product strategy." The group has invested about Rs 700 crore in India. In 2020, GFG Alliance entered in the Indian market with the acquisition of Adhunik Metaliks Ltd (Adhunik) and Zion Steel in a Rs 425 crore all-cash deal, followed by taking over SBQ Steels paying Rs 262.45 crore plus interest of Rs 8 crore.
