Export Development Canada

Export Development Canada

April 08, 2014 12:21 ET

CORRECTION FROM SOURCE/Canadian Banking Group Led by Export Development Canada Co-Finance USD 775 M for Brazil's Vale

RIO DE JANEIRO, BRAZIL--(Marketwired - April 8, 2014) -

This document corrects and replaces the press release that was sent today, April 8, 2014 at 10:21 am EDT. The error occurred in the 2nd paragraph where it should have read "...and The Bank of Nova Scotia providing the remaining USD 275 M."

A Canadian banking partnership led by Export Development Canada (EDC) today announced USD 775 million in financing for the global capital expenditure plans of Vale SA, Brazil's mining leader.

The new financing facility is made up of USD 500 M from EDC, with the Royal Bank of Canada, Canadian Imperial Bank of Commerce, and The Bank of Nova Scotia providing the remaining USD 275 M.

"The capital-intensive demands of Vale's significant capex plans are a near-perfect match for EDC's interest in bringing its significant financing capacity to market, and we are actively seeking new companies to work with," said Rajesh Sharma, Senior Vice-President and Group Head, Global Business Development.

EDC proactively develops new financial relationships with foreign corporations that can be leveraged towards introducing leading-edge Canadian supply and services into their global value chains.

"That's where the relationship between EDC and Vale delivers real, meaningful value for both parties," added Mr. Sharma." Vale benefits from a stable and dependable global financier, and they also benefit from the increasing number of Canadian companies that help them grow their global business. We take a long-term view where the success of our financing customers is how we measure our own success."

"Introducing the foreign companies that we finance to their next Canadian supplier, the one that will help them take their growth to the next level, is one of the best parts of my job," said Mr. Sharma. "It speaks to the core of global trade when both parties get more out of the deal than they put in."

The loan facility was structured as an unsecured, non-revolving loan. Terms were not disclosed at this time.

About EDC

EDC is Canada's export credit agency, providing financial services for companies that buy from Canadian companies, directly or through their corporate value chains. EDC's financing can be used for capex and/or project finance requirements, either through bilateral or syndicated corporate facilities. Operating on commercial principles, EDC has a partnership-preferred philosophy to collaborate with private-sector financial institutions to share risk and create greater capacity for Canadian trade transactions.

For more information about how EDC can help your company, visit www.edc.ca

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