Following its successful initial public offering (see Plasteurope.com Web of 05.10.2006), plastic pipe supplier Wavin (Zwolle / The Netherlands; www.wavin.com) has finalised a new credit facility that provides "a considerable reduction" in the company´s financing costs. The key terms of the facility are a EUR 400m committed term loan, EUR 350m of committed revolving credit and an uncommitted EUR 100m term loan. The EUR 400m repayment loan is a five-year bullet agreement payable in one sum on maturity. Interest rate is the Local Interbank Offered Rate plus a margin of a maximum of 0.90% dependent on the leverage ratio. Wavin CFO Pim Oomens says the net debt is now around around EUR 655m, Wavin´s target at the time of the IPO. The leverage is approximately 3.5 times EBITDA for the 12 months ending 30 June 2006. The leverage ratio is expected to decrease towards the end of 2006 as the majority of cash flow is in the second half of the year. Underwriters of the credit facility are ABN AMRO Bank (www.abnamro.com), Fortis Bank (Nederland; www.fortis.com), ING Bank (www.ing.com) and Rabobank Nederland (www.rabobank.com).