XML 130 R33.htm IDEA: XBRL DOCUMENT
v3.24.1

BORROWINGS | 12 Months Ended
--- | ---
Dec. 31, 2023
Borrowings [abstract] |
BORROWINGS | BORROWINGS
|  | As of December 31,
|  | 2023 |  | 2022
(i) Non-current |  |  |  |
Bank borrowings |  | 9,353 |  |  | 534,352 |
Bonds |  | 747,260 |  |  | — |
Debentures |  | 454,136 |  |  | — |
Less: debt issue costs |  | (4,788) |  |  | (1,651) |
|  | 1,205,961 |  |  | 532,701 |
(ii) Current |  |  |  |
Bank borrowings |  | 915,989 |  |  | 500,091 |
Bonds |  | 23,485 |  |  | — |
Debentures |  | 4,220 |  |  | — |
Less: debt issue costs |  | (3,241) |  |  | (927) |
|  | 940,453 |  |  | 499,164 |
Total Financial Debt |  | 2,146,414 |  |  | 1,031,865 |
The maturity of borrowings is as follows:
|  | Expected Maturity Date
|  | 2024 |  | 2025 |  | 2026 and thereafter |  | At December 31, (1)
|  |  |  |  | 2023 |  | 2022
Borrowings - Fixed Rate |  | 315,696 |  |  | — |  |  | — |  |  | 315,696 |  |  | 295,033 |
Borrowings - Floating Rate |  | 599,727 |  |  | 9,335 |  |  | — |  |  | 609,062 |  |  | 736,832 |
Bonds |  | 21,111 |  |  | — |  |  | 743,699 |  |  | 764,810 |  |  | — |
Debentures |  | 3,920 |  |  | — |  |  | 452,926 |  |  | 456,846 |  |  | — |
Total |  | 940,454 |  |  | 9,335 |  |  | 1,196,625 |  |  | 2,146,414 |  |  | 1,031,865 |
(1) As most borrowings and the debentures incorporate floating rates that approximate market rates and the contractual repricing occurs mostly every 1 month, the fair value of the borrowings and the debentures approximates their carrying amount and it is not disclosed separately. Fixed rate borrowings are uncommitted short-term revolving loans, and their fair value approximates to their carrying amount. Regarding the bonds, its fair value approximates the market value. The weighted average interest rates - which incorporate instruments denominated mainly in U.S. dollars and which do not include the effect of derivative financial instruments nor the devaluation of these local currencies - at year-end were as follows:
|  | As of December 31,
|  | 2023 |  | 2022
Bank borrowings |  | 7.28 | % |  | 6.21 | %
Bonds |  | 5.88 | % |  | — |
Debentures |  | 12.52 | % |  | — |
The nominal average interest rates shown above were calculated using the rates set for each instrument in its corresponding currency and weighted using the dollar-equivalent outstanding principal amount of said instruments as of December 31, 2023 and 2022, respectively. 24. BORROWINGS (continued) Breakdown of borrowings by currency is as follows:
|  |  |  | As of December 31,
Currencies |  | Contract |  | 2023 |  | 2022
$ |  | Floating |  | 609,062 |  |  | 684,554 |
$ |  | Fixed |  | 1,021,909 |  |  | 197,259 |
BRL |  | Floating |  | 456,846 |  |  | — |
BRL |  | Fixed |  | 352 |  |  | — |
COP |  | Fixed |  | 53,135 |  |  | 92,680 |
GTQ |  | Fixed |  | 5,110 |  |  | 5,094 |
COP |  | Floating |  | — |  |  | 38,934 |
MXN |  | Floating |  | — |  |  | 13,339 |
ARS |  | Floating |  | — |  |  | 5 |
|  |  |  | 2,146,414 |  |  | 1,031,865 |
$: U.S. dollars; ARS: Argentine pesos; BRL: Brazilian reais; COP: Colombian pesos; GTQ: Guatemalan quetzales; MXN: Mexican pesos. Ternium’s most significant current borrowings as of December 31, 2023, were those incurred under Ternium Brasil's syndicated loan facility, in order to finance solely activities related to its exports of goods, and under Usiminas’ bonds and debentures issued in order to refinance its financial debt:
|  |  |  |  |  | In $ million |  |
Date |  | Borrower |  | Type |  | Original principal amount |  | Outstanding principal amount as of December 31, 2023 |  | Maturity
August 2019 |  | Ternium Brasil |  | Syndicated loan |  | 500 |  |  | 500 |  |  | August 2024
July 2019 |  | Usiminas |  | Bonds |  | 750 |  |  | 750 |  |  | July 2026
May 2022 |  | Usiminas |  | Debentures - 8th emission |  | 145 |  |  | 134 |  |  | May 2029
December 2022 |  | Usiminas |  | Debentures - 9th emission |  | 310 |  |  | 287 |  |  | December 2032
The main covenants on these loan agreements, bonds and debentures are limitations on liens and encumbrances, limitations on the sale of certain assets and compliance with financial ratios (i.e. leverage ratio). As of December 31, 2023, Ternium was in compliance with all of its covenants.

X
- References No definition available. + Details
Name: | ifrs-full_BorrowingsAbstract
Namespace Prefix: | ifrs-full_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The disclosure of borrowings. [Refer: Borrowings] + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Name IAS -Number 1 -IssueDate 2023-01-01 -Paragraph 10 -Subparagraph e -URI https://taxonomy.ifrs.org/xifrs-link?type=IAS&num=1&code=ifrs-tx-2023-en-r&anchor=para_10_e&doctype=Standard -URIDate 2023-03-23 + Details
Name: | ifrs-full_DisclosureOfBorrowingsExplanatory
Namespace Prefix: | ifrs-full_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration