Talks come as commodity markets are rocked by volatility and effects of war in Ukraine
Trafigura has held discussions with Blackstone about an equity investment of up to $3bn, as the privately owned commodity trader seeks to broaden its sources of funding.
Big commodity traders typically rely on credit lines from banks to finance the cargoes of raw materials they buy and sell. In Trafigura’s case it also taps public debt markets and has a securitisation programme. At the end of its financial year in September, Trafigura had gross debt of $45bn and $66bn of credit lines provided by 140 banks globally.
Last year, Trafigura generated net profit of $3.1bn, almost double the previous year’s $1.6bn, on revenue that rose 57 per cent to $231bn on the back of higher commodity prices and increased trading volumes.
Read more: FT
