Moscow—Global law firm Dentons has advised ING Bank N.V. as coordinator, documentation agent and sustainability coordinator on a 5-year sustainability-linked syndicated loan agreement in the amount of US$1.25 billion between Uralkali, one of the world’s largest potash producers, and 18 banks.

This is the largest sustainability-linked syndicated loan agreement in Russia and CIS, which was signed for the first time in the history of Uralkali and is the first agreement of its kind among producers of mineral fertilizers in Central and Eastern Europe. ING Bank N.V. acted as the Mandated Lead Arranger and Bookrunner of the pre-export loan facility, as well as the Lead Sustainability Coordinator, Facility Coordinator and Documentation Agent.

The transaction demonstrates the high level of support for Uralkali’s sustainable development strategy by international and Russian financial institutions. Sustainability key performance indicators, to which the loan agreement is linked, cover ecological issues as well as the safety operations of Uralkali. The base interest rate is LIBOR + 190 bps margin with a loan maturity of 5 years. The loan will be used for refinancing of Uralkali’s existing loans and for general corporate purposes.

Mandated Lead Arrangers and Bookrunners of the pre-export loan facility are ING Bank, Societe Generale, Crédit Agricole Corporate & Investment Bank, Commerzbank Aktiengesellschaft Filiale Luxemburg, Intesa Sanpaolo Bank Ireland PLC, Natixis, AO Alfa-Bank, Russian Regional Development Bank and Sberbank. AO Unicredit Bank, Black Sea Trade and Development Bank and RCB BANK LTD joined the facility as Mandated Lead Arrangers; Bank оf America Europe Designated Activity Company, Bank Zenit (PJSC) and Commercial Bank «Ak Bars» (PJSC) - as Arrangers, and Deutsche Bank AG Amsterdam Branch, JSC OTP Bank (Russia), OTP Bank PLC and Bank ICBC (JSC) — as Lenders.

London-based banking and finance partner Logan Wright led the Dentons team working on the transaction, with support from Moscow based counsel Filipp Petyukov and associates Olga Alyabyeva, Kristina Belyaeva and Mikhail Fedorov. Dentons also collaborated with the Latvian counsel Cobalt.

Logan Wright commented on the deal, “This is a market-leading transaction in an exciting and rapidly growing area of the market – in both the region, and more globally – and further demonstrates Dentons’ strong credentials in ESG-linked financings. It was a pleasure to support our long-standing client ING and its well-respected sustainability team on this transaction, and to further develop our relationship with Uralkali, a major global player in the fertilisers sector.”

Filipp Petyukov added: “We are pleased to have represented ING on this landmark transaction for Uralkali and the entire industry. Advising clients on a broad range of ESG matters is part of our global commitment and this project is another example of the successful work of our international team in the ESG sector.”

About Uralkali

Uralkali is one of the world’s largest potash producers and exporters. The Company’s assets consist of 5 mines and 7 ore treatment plants in the towns of Berezniki and Solikamsk (Perm Region, Russia). Uralkali employs more than 12,000 people in the main production unit.

About Dentons

Across over 80 countries, Dentons helps you grow, protect, operate and finance your organization by providing uniquely global and deeply local legal solutions. Polycentric, purpose-driven and committed to inclusion, diversity, equity and sustainability, we focus on what matters most to you. www.dentons.com