Siren Investment Korea inks the second largest syndicated loan completed in South Korea 2015 year-to-date
Siren Investment Korea has sealed a W1.4 trillion five-year debt package through mandated lead arrangers Industrial Bank of Korea, Kookmin Bank, KDB, Korea Exchange Bank, Korea Investment & Securities, NH Nonghyup Bank, Samsung Securities and Shinhan Bank.
The financing is split into a W1.3 trillion term loan and a W50 billion revolver. Syndication saw Hana Bank, Hana HSBC Life Insurance, Korean Federation of Community Credit Cooperatives, NACF, Suhyup Bank, Nonghyup Life Insurance and Shinhan Life Insurance join in as lenders. Proceeds are for general corporate purposes and refinancing an existing W985 billion deal signed April 25 2014
The deal stands as the second largest syndicated loan completed in South Korea so far this year, behind Han & Co Auto Holdings' W1.6 trillion loan completed in February 2015.
In Korea, the finance sector accounts for 23% of the total volume in 2015 year-to-date, followed by the construction (16%) and transport (15%) sectors, respectively
The second largest transport sector syndicated loan completed in China in 2015 year-to-date
Nanning Rail Transit has signed Rmb11.3 billion 25-year term loan through sole bookrunner and mandated lead arranger China Construction Bank. The credit is priced at a fixed rate 619.5bp. Syndication saw Agricultural Bank of China, Bank of Communication, CITIC Group Corp, Everbright Bank of China, Guangxi Beibu Gulf Bank, Hua Xia Bank and Industrial & Commercial Bank of China join in as lenders. Proceeds are to support the construction of Nanning Light Rail Line 2 project.
It is the second largest syndicated loan completed in China transportation sector for 2015 year-to-date, behind Wuxi Metro Group’s Rmb14.4 billion loan completed in January 2015.
China transportation sector loan volume totals $6.4 billion so far this year, up from just $567 million in the same 2014 period and is the highest year-to-date level for the sector on record. Despite the increase, overall Asia Pacific ex-Japan transportation sector loan volume fell 31% year-on-year to $13.2 billion in 2015 year-to-date
The largest club loan completed in China so far this year
Shandong Nuclear Power has completed a Rmb30billion transaction through joint mandated lead arrangers Agricultural Bank of China, Bank of China, CCB, China Development Bank, Export-Import Bank of China, Industrial & Commercial Bank of China and Postal Savings Bank of China on a club basis. Proceeds are to support the construction of Haiyang Nuclear Power Plant.
This is the largest club deal and second largest loan completed in China in 2015 year-to-date behind Yalong River Hydropower’s Rmb53 billion transaction signed in March.
On the back of these two deals, the utility & energy sector leads China syndicated loan volume with a record $15.5 billion in 2015 year-to-date, surpassing the previous record set in 2008 ($6.2bn) and up from just $2.5bn in 2014 year-to-date. Despite the increase, overall Asia Pacific ex Japan loan volume for the sector is down 6% during the same period to $20.4 billion in 2015 year-to-date.
