In Brief: Scandic, the largest hotel company in the Nordic countries, has successfully established a new financial framework intended to provide long-term stability and support for its ongoing operations.
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Rendering of the Scandic Finnsne Hotel – Image Credit Scandic
Scandic has secured a new long-term financing framework totalling SEK 7.5 billion. The financing supports Scandic’s continued growth strategy, including the planned acquisition of Dalata Hotel Group, while further strengthening the Group’s financial flexibility.
The new financing agreement came into effect on July 2 and has a term of three years, with the option to extend it for an additional two years.
“Scandic has a strong financial position and a clear growth strategy. This new long-term financing framework provides significant flexibility to support our continued expansion, including the planned acquisition of Dalata. We are also pleased to further strengthen our banking group with additional relationship banks that combine broad international reach with strong local expertise across Scandic’s markets,” says Pär Christiansen, Chief Financial Officer at Scandic Hotels Group.
The financing has been arranged by DNB and Nordea Bank Abp, filial i Sverige, who acted as Coordinating Bookrunners and Mandated Lead Arrangers. Nordea Bank Abp, filial i Sverige also acted as Documentation Agent and Facility Agent. The financing is provided by a syndicate of relationship banks comprising DNB, Nordea Bank Abp, filial i Sverige, Allied Irish Banks PLC (AIB), Barclays Bank Ireland PLC, Natwest Bank Plc, Swedbank AB (publ) and Swedish Export Credit Corporation.