Cemex, S.A.B. de C.V. announced that it agreed to refinance its bilateral loan with Banco Mercantil del Norte, S.A., Institución De Banca Múltiple, Grupo Financiero Banorte (the ?Term Loan?), extending the maturity of the Term Loan to 2028. Following the refinancing, the Term Loan will consist of an MXN$6.0 billion 5-year amortizing term loan, which represents an increase of MXN$769 million from the original amount of the loan. The Term Loan, denominated in Mexican Pesos, will have an interest rate margin dependent on leverage ratio slightly lower than that applicable prior to the refinancing, and financial covenants consistent with an investment-grade capital structure, that provide for a maximum leverage ratio of 3.75x throughout the life of the Term Loan and a minimum interest coverage ratio of 2.75x.

The Term Loan is part of Cemex?s recently updated Sustainability-linked Financing Framework (the ?Framework?), which is aligned to the company?s Future in Action strategy and roadmap. The annual performance with respect to the three metrics referenced in the Framework may result in a total adjustment of the interest rate margin of plus or minus five basis points, in line with other sustainability-linked loans from investment-grade rated borrowers. The Term Loan maintains its guarantor structure, which consists only of Cemex Concretos, S.A. de C.V., Cemex Operaciones México, S.A. de C.V., Cemex Innovation Holding Ltd., and Cemex Corp.

The refinancing is subject to customary closing conditions expected to be satisfied in the month of December, 2023.