14 June 2016
RUB 53 billion Credit Limit Agreed for Lenta
St-Petersburg, Russia; 14 June, 2016 – Lenta (LSE, MOEX:LNTA), one of the largest retail chains in Russia, is pleased to announce it has finalised arrangements for a credit limit of up to RUB 53 billion with Sberbank.
Sberbank approved a credit limit for Lenta of RUB 53bn. Under the conditions of the limit Lenta can have access to new long term loans up to RUB 25bn for a period of up to 5 years. This limit also includes existing facilities consisting of a long-term loan of RUB 10bn maturing during 2017 and a revolving short-term credit line of RUB 10bn. The remainder can be used for bank guarantees and factoring.
The extended credit line ensures the Company readiness to finance its investment programme in 2017 and beyond as well as enabling Lenta to optimise its credit portfolio.
Lenta is the largest hypermarket chain in Russia (in terms of selling space) and the country’s fifth largest retail chain (in terms of 2015 sales). The Company was founded in 1993 in St. Petersburg. Lenta operates 144 hypermarkets in 71 cities across Russia and 41 supermarkets in Moscow and St. Petersburg, with a total of approximately 905,739 sq.m of selling space. The average Lenta hypermarket store has selling space of approximately 6,000 sq.m. The average Lenta supermarket store has selling space of approximately 1,000 sq.m. The Company operates six owned hypermarket distribution centres.
The Company’s price-led hypermarket formats are differentiated in terms of their promotion and pricing strategies as well as their local product assortment. The Company employed approximately 38,414 people as of 31 December 20151.
The Company’s management team combines a mix of local knowledge and international expertise coupled with extensive operational experience in Russia. Lenta’s largest shareholders include TPG Capital and the European Bank for Reconstruction and Development, both of which are committed to maintaining high standards of corporate governance. Lenta is listed on the London Stock Exchange and on the Moscow Exchange and trades under the ticker: ‘LNTA’.
A brief video summary on Lenta’s business and its Big Data initiative can be seen here.
For further information please visit www.lentainvestor.com, or contact:
Public Relations & Government Affairs Director
Tel: +7 812 363 28 53
Corporate Communications Manager
Тel:+7 (812) 336 39 97
David Westover and Marina Zakharova
Тel: +44 207 638 9571
Anton Karpov & Victoria Afonina
Тel:+7 495 795 06 23