The non-reimbursable financing will be granted via the European operational program “Increase of Economic Competitiveness,” the power company said in a statement.
This is Transelectrica’s second non-reimbursable loan taken this month. Last week, the power company signed a similar RON50 million agreement to upgrade a unit in Hunedoara county, western Romania.
Transelectrica has 58.69% of its shares in the hands of the state, through the Economy Ministry.
Earlier June, Moody’s Investors Service cut Transelectrica’s credit ratings to Ba1 from Baa3 and placed the company under review for further downgrade, saying it expects the Romanian government will be less supportive of the company in case of extraordinary events.
In turn, Transelectrica said its financials were solid and that it had sufficient funds to repay maturing debt.
On the Bucharest bourse Thursday, Transelectrica closed roughly flat on the day at RON12.39 a share. (EUR1=RON4.5252)