Would love to be building a large position in ATC at these prices .....

ALTECH TARGETS INCREASED PROJECT
DEBT OF US$70 MILLION
Highlights
• Altech targeting total project debt of US$70 million
• Export credit cover (ECA) component increased to US$60 million
• Residual debt component now up to US$10 million
• Sole lender structure proposed for the entire debt portion of up to US$70 million
• Simplified debt financing and attractive ECA-covered component
Altech Chemicals Limited (Altech/the Company) (ASX: ATC) is pleased to announce that the Company’s targeted
debt financing for its proposed Malaysian high purity alumina (HPA) project has increased to US$70 million
(previously US$60 million).
The export credit cover (ECA) component to be covered by the German export credit agency (ECA), Euler
Hermes Aktiengesellschaft (Euler Hermes) has increased from US$40 million to US$60 million. Accordingly,
Altech has reduced the targeted amount for the remaining uncovered debt portion from US$20 million to US$10
million, which has resulted in a revised total project debt target of US$70 million.
In accordance with the positive cursory pre-assessment undertaken by Euler Hermes (please refer to ASX
Announcement of 3 August 2016 for details), the Company’s ongoing due diligence process has the objective of
an application for ECA-cover incorporating the abovementioned adjusted debt structure.
Furthermore, German government-owned KfW IPEX-Bank, mandated to provide debt structuring and advisory
services to the Company, has proposed a simple and cost effective “sole lender” debt structure whereby the
entire US$70 million of project debt is proposed to be provided exclusively by KfW IPEX-Bank (subject to ongoing
due diligence and respective loan approval).
The interest rate of project finance debt supported by ECA cover is very attractive, consequently the overall cost
of debt for the Company shall be reduced compared to the originally contemplated structure.