Loan week, April 25-30

A roundup of the latest syndicated loan market news.

GUD HoldingsÆ A$180 million dual tranche financing has been signed on a club basis via ANZ and Westpac Banking Corporation, with each bank committing A$90 million.

The loan was split equally into two A$90 million tranches and features tenors of one and three years respectively.

Syndication of Tatts GroupÆs A$1 billion multi-tranche financing, which was launched to the market on April 23, has generated strong interest with ANZ committing as an early bird to the deal. Commonwealth Bank of Australia, National Australia Bank, Royal Bank of Scotland and Westpac Banking Corporation are leading the facility.

The loan comprises a A$200 million one-year credit, a A$620 million three-year tranche and a A$180 million five-year portion.

Banks have until late May to respond. Proceeds are for general corporate purposes and to refinance existing debt.


Shandong Weiqiao Aluminium & ElectricityÆs $130 million three-year fundraising was inked on April 29 via sole bookrunner Royal Bank of Scotland.

Final allocations saw the bookrunner provide $40 million while equal-status arrangers Rabobank and Sumitomo Mitsui Banking Corporation contributed $30 million each. Calyon and KBC Bank committed $15 million apiece as senior managers.


The mandated arranger group for Reliance PetroleumÆs $500 million seven-year facility has been expanded to a total of 19 banks and the transaction has been completed on a club basis. Bank of America Securities, Bank of Tokyo Mitsubishi UFJ, HSBC, Mizuho Corporate Bank, Sumitomo Mitsui Banking Corporation and WestLB are the original mandated leads.

Final allocations saw KFW Bank commit $26.84 million, while Bank of America Securities, Bank of Tokyo Mitsubishi UFJ, HSBC, Mizuho Corporate Bank, Sumitomo Mitsui Banking Corp, WestLB, Calyon, DnB Nor, Bank of Nova Scotia, Banco Bilbao Vizcaya Argentaria, Credit Industriel et Commercial, NordLB, Standard Chartered Bank, ABN AMRO, Natixis and Societe Generale provided $26.76 million each. KBC Bank took $25 million while lead arranger Arab Bank held $20 million.

Proceeds are to finance the construction of a polypropylene petrochemical refinery at the Jamnagar Special Economic Zone in Gujarat, India.

The targeted close for general syndication of Tata Motors SPV TML HoldingsÆ $3 billion 12-month bridge facility has been extended to mid-May with banks in the midst of seeking credit approvals. Bank of Tokyo-Mitsubishi UFJ, BNP Paribas, Citi, ING Bank, JPMorgan, Mizuho Corporate Bank, Standard Chartered Bank and State Bank of India are the leads who have also fully underwritten the loan.

Banks have been invited on four tiers in general. Lead arrangers providing $100 million or above get 40bp for an all-in of 150bp, while arrangers holding between $75 million and $99 million receive 35bp for an all-in of 145bp. Lead managers committing between $50 million and $74 million gain 30bp, while managers lending between $25 million and $49 million get 25bp for all-ins of 140bp and 135bp respectively.

The margin is 85bp for the first six months, 120bp from the sixth to the ninth month and 150bp thereafter. The blended margin is 110bp over Libor.

Proceeds are to support the acquisition of Jaguar and Land Rover from Ford.


PT PLN Perusahaan Listrik Negara (Persero)Æs $592.28 million 13-year project financing was signed on April 28 via a consortium of 18 banks. Bank of China, BNP Paribas, China Construction Bank, China Development Bank, China CITIC Bank, ICBC Asia and Societe Generale led the deal.

Final allocations saw all the leads except China Citic Bank taking $50.18 million each. China Citic Bank contributed $34.2 million. Arrangers ANZ, BayernLB, Calyon, Credit Suisse, Fortis, ING Bank, Natixis, Royal Bank of Scotland and WestLB committed $25 million apiece, while co-arrangers Mizuho Corporate Bank and Sumitomo Mitsui Banking Corporation each ended up with $16 million.


Resorts World at SentosaÆs S$4.19 billion multi-tranche debt package was funded by the mandated lead arrangers on April 24. DBS Bank, HSBC, Oversea-Chinese Banking Corporation, Sumitomo Mitsui Banking Corporation and Royal Bank of Scotland are the original mandated lead arrangers with 10 banks joining as equal-status arrangers û Bangkok Bank, Bank of Tokyo-Mitsubishi UFJ, BNP Paribas, Calyon, CIMB, Commerzbank, DZ Bank, JPMorgan, Maybank and National Australia Bank.

The seven-and-a-half-year credit comprises a S$3.5 billion amortising loan, a S$500 million revolver and a S$193 million bank guarantee. DBS Bank and Oversea-Chinese Banking Corp jointly provided the bank guarantee. The deal pays a spread of 175bp over Libor.

General syndication is said to launch in May for banks wishing to join with smaller tickets.

Proceeds are for the construction of an integrated resort located on Sentosa Island, Singapore.
South Korea

Sole lead arranger Korea Development Bank has launched Hanwha CorpÆs $60 million three-year floating rating note to the market.

Banks have been invited on two levels. Co-arrangers providing $10 million or more receive 245bp in upfront fees, while senior managers lending between $5 million and $9 million gain 235bp. The margin is priced at 245bp over six-month Libor.

The deadline for banks to respond is mid-May. The funds are for general corporate purposes.

A $50 million two-year credit for Kolon Indonesia was launched into syndication on April 21 via sole bookrunner Korea Development Bank.

The deal features a spread of 230bp over six-month Libor. Banks committing $10 million or more receive 45bp in management fees.

Kolon Industries is the guarantor. The deal has already generated keen interest among lenders and has, so far, received verbal commitments of $42 million. The targeted deadline is May 9.


Chiahui Power CorpÆs NT$8.148 billion dual currency refinancing was inked on April 25 via eight mandated leads and bookrunners.

The facility is split into a NT$7.958 billion 10-year term loan, a NT$190 million 10-year guarantee facility and an $8.5 million seven-year guarantee facility.

Coordinating arrangers Chang Hwa Bank provided NT$927 million, while Chinatrust Commercial Bank, First Commercial Bank, Mega International Commercial Bank, Shanghai Commercial & Savings Bank, Taipei Fubon Commercial Bank and Taiwan Cooperative Bank held NT$788 million apiece. Mizuho Corporate Bank lent NT$190 million and $8.5 million.

Co-arranger Taiwan Shin Kong Commercial Bank committed NT$462 million. Other participants include Cathay United Bank, Hua Nan Commercial Bank and Taiwan Business Bank that joined with NT$370 million, NT$323 million and NT$314 million respectively, while Taichung Commercial Bank, Taishin International Bank and Yuanta Bank pledged NT$278 million apiece.

Tickets were offered at three levels. Mandated arrangers committing NT$700 million or above gain 18bp, co-arrangers providing NT$500 million to NT$699 million receive 12bp and participants holding NT$300 million to NT$499 million get 5bp.

The term loan facility has a commitment fee of 15bp and pays a spread of 70bp over the secondary CP rate while the other two tranches have a flat margin of 50bp. Lenders also have security against the land, machinery and plant.

Proceeds are to refinance existing debt and to support a performance bond.

A five-year term loan for Chi Mei Lighting Technology Corporation has been upsized to NT$4 billion from NT$3.5 billion and will be signed in early May.

First Commercial Bank and Chang Hwa Commercial Bank are the mandated lead arrangers, committing NT$800 million and NT$600 million respectively. Co-arrangers Taiwan Cooperative Bank and Taichung Bank held NT$400 million apiece, while managers Bank of Taiwan, Shin Kong Bank and Taiwan Business Bank lent NT$300 million each. Cathay United Bank, E.Sun Commercial Bank, Land Bank of Taiwan and Mega International Commercial Bank provided NT$200 million apiece and Industrial Bank of Taiwan rounded out the group with a NT$100 million commitment.

Banks joining with holds of NT$600 million or above get an upfront fee of 12bp and the title of mandated arranger, while co-arrangers providing NT$400 million to NT$599 million receive 9bp and managers holding NT$200 million to NT$399 million gain 6bp. There is a commitment fee of 25bp and security on land, plant and machinery.

The facility pays a spread of 44bp over the primary CP rate and will be used for capital expenditure purposes.

CSB Battery and CVI Logistics CorpÆs NT$3 billion five-year dual currency facility was signed on April 22 via mandated leads Chang Hwa Commercial Bank, Chinatrust Commercial Bank, E.Sun Commercial Bank, Land Bank of Taiwan and Taipei Fubon Commercial Bank.

The financing is split into a NT$3 billion revolver, a $40 million stand-by letter of credit and a $60 million revolving credit. The maximum outstanding balance of the three tranches cannot exceed NT$3 billion.

The mandated lead arrangers each committed NT$300 million, while managers Industrial Bank of Taiwan and Yuanta Commercial Bank provided NT$200 million apiece. Other participants are Bank of East Asia and First Commercial Bank with holds of NT$150 million each, and Bank of Kaohsiung, EnTie Commercial Bank, Hua Nan Commercial Bank, Mega International Commercial Bank, Shanghai Commercial & Savings Bank, Shin Kong Commercial Bank, Taichung Commercial Bank and Taiwan Cooperative Bank with tickets of NT$100 million apiece.

The commitment fee is 15bp and the margin is at 85bp over the secondary CP rate for the first tranche, 100bp flat for the stand-by portion and 85bp over Libor for the last tranche. Proceeds are for working capital purposes.

Quanta ComputerÆs $360 million five-year fundraising was inked on April 30 via a syndicate of 15 banks. The deal was oversubscribed and upsized from $300 million.

Allocations saw leads Bank of Tokyo-Mitsubishi UFJ and Hua Nan Commercial Bank holding $30 million apiece, while Cathay United Bank, E.Sun Commercial Bank, First Commercial Bank, ING Bank, Industrial Bank of Taiwan, Land Bank of Taiwan, Mega International Commercial Bank, Mizuho Corporate Bank, Shanghai Commercial & Savings Bank, Sumitomo Mitsui Banking Corporation, Taiwan Cooperative Bank and Yuanta Commercial Bank each took $24.38 million. Taiwan Business Bank provided $7.5 million as a lender.

The original mandated leads were Bank of Tokyo-Mitsubishi UFJ, Hua Nan Commercial Bank, ING Bank, Mizuho Corporate Bank and Sumitomo Mitsui Banking Corp.

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