Utilities tap for cheap refinancing

摘要

Utilities GDF Suez and RWE are taking advantage of competitive market conditions to refinance existing debt at lower margins as banks' appetite for relationship lending shows no signs of being satisfied despite the wafer thin margins on offer, banking sources said. French electricity, natural gas and energy services group GDF Suez is in syndication with a self-arranged €5bn refinancing of an existing €4bn credit facility that is set to mature in June 2015 and a certain amount of debt at its Electrabel subsidiary, banking sources said. The existing €4bn facility was arranged in June 2010 via a club of 18 banks. That deal paid a margin of 45bp over Euribor.