04 June 2015, 13:47 / Business

GAZ Group will soon receive government guarantees worth 16 billion rubles – Ministry of Industry and Trade

The GAZ Group will soon receive government guarantees for loans worth about 16 billion rubles, Minister of Industry and Trade Denis Manturov told reporters on the sidelines of Russian Retail Week. Previously, he said that the volume of state guarantees for the enterprise could amount to about 20 billion rubles.

“The state guarantees for GAZ are at the stage of completing the issuance of the guarantee itself, all the necessary measures regarding the guarantee [have been taken]. In the near future, the company will receive these guarantees. If my memory serves me right, about 16 billion [rubles],” the minister noted (his words leads "Prime").

As a representative of the ministry explained to RIA Novosti, we are talking about the entire amount of state guarantees for the GAZ group, which will amount to about 16 billion rubles.

In March, the GAZ group announced that it had reduced the requested amount of government guarantees from 25 billion to 23.5 billion rubles. According to the vice-president of the group, Elena Matveeva, this was due to the fact that at the end of 2014 the company repaid part of the debt being restructured. GAZ plans to restructure the debt in stages.

“The restructuring of the loan portfolio of the GAZ group is planned in two stages: at the first stage - refinancing the debt under a syndicated loan from Sberbank and VTB in the amount of 33.25 billion rubles,” Matveeva previously explained, noting that GAZ has applied for state guarantees for this loan in the amount of 16.6 billion rubles. “At the second stage, it is planned to restructure another part of the GAZ group’s loan portfolio in the amount of 13.75 billion rubles with state guarantees for 6.9 billion rubles,” she added (her words are quoted by Interfax).

Previously on the topic: State guarantees for the GAZ group could amount to 20 billion rubles