Harmony Gold Locks In New Multi-Currency Credit Lines Worth US$1.5 Billion

Harmony Gold has secured new syndicated multi-tranche, multi-currency loan facilities worth US$500 million, A$500 million, and R7 billion. The refinancing is expected to improve liquidity, lower funding costs, and push more of the company's debt structure into currencies that match its expanding asset base.

The deal attracted about 93% lender participation, with commitments totaling about three times the targeted amount. This level of demand suggests the banking market was willing to back Harmony at scale, indicating lenders were comfortable enough with the company's credit profile and asset direction to commit beyond the target.

Harmony will use the proceeds in part to refinance existing 2022 dollar and rand syndicated facilities that were originally put in place to refinance the MAC Copper acquisition bridge facility. The new debt package also supports general corporate purposes, which is notable as it adds Australian dollar-denominated funding for the first time.

The company's chief executive, Beyers Nel, framed the deal as a balance-sheet improvement. 'The successful conclusion of these facilities reduces Harmony's funding costs, strengthens liquidity and optimises our capital structure,' he said.