Credit Agricole bank refused to fulfill its obligations to Uralkali

Uralkali reported that its facility agent the French bank Credit Agricole refused to take the necessary steps to make scheduled payments on syndicated pre-export loans.

According to the press-release of Uralkali, Credit Agricole didn’t accept the company’s payment to transfer to its creditors. The decision of Credit Agricole may be associated with a situation of uncertainty due to the sanctions imposed against Dmitry Mazepin by the European Union and the United Kingdom.

Uralkali believes that there are no grounds for refusing payments to its creditors by the French bank. On March 10, 2022, Dmitry Mazepin sold a controlling stake (52% of the previously owned 100%) of Uralchem, which can indirectly dispose of 100% of the voting shares of Uralkali. Moreover, Dmitry Mazepin no longer holds positions in the management bodies of Uralchem and does not control the company.

“The company emphasizes that the consistent fulfillment of its obligations to creditors is one of its top priorities. Uralkali is doing everything possible in the current environment to ensure stable servicing of its debt,” said Uralkali in its press-release.