OSLO: Veidekke ASA has entered into agreements to refinance existing bank loans in DNB and SEB.

The agreements are part of the adjustment of the group’s capital structure and financing conditions following the divestment of Veidekke Property Development in early autumn.

Veidekke has restructured the current overdraft facility with the group’s main bank DNB to a NOK 1,750 million rolling 364-day facility.

With SEB, Veidekke has renegotiated a NOK 750 million credit facility with a three-year term and options for two subsequent one-year extensions. The terms of the credit facility are sustainability linked.

“The agreements with DNB and SEB give Veidekke a solid financial platform which provides significant liquidity reserves for the business in the years ahead,” says Jørgen Wiese Porsmyr, CFO Veidekke ASA.

Veidekke is one of Scandinavia’s largest contractors. In addition to undertaking all types of building and civil engineering assignments, the group also maintains roads and produces asphalt and aggregates. Veidekke emphasizes stakeholder involvement and local experience.

Its annual turnover is approximately NOK 37 billion, and half of its 8,200 employees own shares in the company. Veidekke is listed on the Oslo Stock Exchange, and has posted a profit every year since its inception in 1936.