KHD grants € 50 million intercompany loan

Cologne, Germany, July 19, 2017 – KHD Humboldt Wedag International AG (KHD) has entered into a € 50 million loan agreement with AVIC International Kairong Limited, Hong Kong, as the borrower. This loan replaces a loan that has been granted three years ago to AVIC International (HK) Group Ltd., Hong Kong, which is due for repayment on July 22, 2017.

The loan is secured by a corporate guarantee from AVIC Group and bears interest at a rate of six percentage points per annum. The term of the loan agreement is three years and it is due for repayment on July 22, 2020. KHD is entitled to call for repayment of the loan at any time prior to its maturity by giving 30 days’ notice.