Loan week, August 24-30

A roundup of the latest syndicated loan market news.

China

Bookrunners and mandated lead arrangers Bank of Taiwan, Chang Hwa Commercial Bank, E Sun Commercial Bank, Hua Nan Commercial Bank, Mega International Commercial Bank, Mizuho, Taipei Fubon Bank and Taiwan Cooperative Bank, mandated lead arranger Yuanta Commercial Bank and participant Export-Import Bank of the Republic of China have jointly arranged four deals: Formosa Plastics & Polyethylene (Ningbo) Corp’s $114 million five-year term loan, Formosa Chemicals & Phenol (Ningbo) Corp’s $95 million five-year term loan, Nan Ya Plastics (Ningbo) Corp’s $64 million five-year term loan and Nan Ya Circuit (KunShan) Corp’s $117 million five-year term loan. The facilities are priced at 110bp over three- or six-month Libor, or over three- or six-month TAIFX, whichever is higher. The borrower needs to pay the difference if TAIFX3 is higher than Libor by 30bp. Proceeds are for capital expenditure purposes.

Hong Kong

K Wah Financial Services has successfully inked a HK$2.8 billion three-year dual-tranche fundraising through bookrunners and mandated lead arrangers Bank of China (Hong Kong), Hang Seng Bank and HSBC. The facility was oversubscribed and upsized from HK$1.1 billion.

Guaranteed by K Wah International Holdings, the fundraising is split equally into a term loan and a revolving credit.

Syndication saw Agricultural Bank of China, Bank of East Asia, Dah Sing Bank, Shanghai Commercial Bank, Tai Fung Bank, Wing Hang Bank and Wing Lung Bank join in as mandated lead arrangers, while Industrial & Commercial Bank of China, Mega International Commercial Bank, Mizuho, SMBC and Yuanta Commercial Bank came in as lead arrangers. Chang Hwa Commercial Bank and Chong Hing Bank ended up as senior managers.

Proceeds are to refinance an existing facility signed in 2007 and for general corporate purposes.

India

ICICI Bank has completed a $275 million three-year loan on a club basis through mandated lead arrangers ANZ, Bank of America Merrill Lynch, Bank of Bahrain & Kuwait, Bank of Tokyo-Mitsubishi UFJ, Mega International Commercial Bank, National Australia Bank, National Bank of Abu Dhabi and Standard Chartered Bank.

Proceeds are for general corporate purposes.

Maharashtra Eastern Grid Power Transmission has secured a Rs17.5 billion facility through sole bookrunner and mandated lead arranger SBI Capital Market.

The facility is split into a Rs10 billion 15-year term loan and a Rs7.5 billion two-year letter of credit.

Final allocations saw State Bank of India join in with Rs13.1 billion and Punjab National Bank contribute Rs2.6 billion, both as participants. Oriental Bank of Commerce ended up with Rs1.8 billion.

Proceeds are to support the development and construction of the transmission line connecting Tiroda-Koradi-Akola-Aurangabad in Maharashtra, India.

Hinduja Realty Ventures has obtained an Rs8.5 billion five-year and nine-month facility through sole bookrunner and mandated lead arranger SBI Capital Market.

Final allocations saw Punjab National Bank pledge Rs3 billion, while United Bank of India joined in as a participant with Rs2 billion. Bank of Baroda lent Rs1.5 billion and Central Bank of India and Syndicate Bank ended up with Rs1 billion apiece.

Proceeds are to develop, operate and maintain SEZ Park at Bangalore.

Taiwan

Continental Development Corp has concluded a NT$3.1 billion five-year dual-tranche facility through sole bookrunner and mandated lead arranger Taipei Fubon Commercial Bank.

The term loan consists of a NT$1.7 billion tranche and a NT$1.4 billion portion, which are priced at 64.66bp and 83.56bp over the one-year post office savings rate respectively.

Final allocations saw the sole lead lend NT$2.3 billion, while Taiwan Life Insurance joined in as a participant with NT$865 million.

Proceeds are to finance a land development project.

Pushi Construction & Development has secured a NT$1.2 billion five-year multi-tranche facility through sole bookrunners and mandated lead arrangers Taiwan Cooperative Bank.

The debt package is split into four tranches of NT$298 million, NT$82 million, NT$691 million and NT$169 million. The first tranche offers a margin of 140bp over the postal savings rate, while the other tranches feature a spread of 160bp over the same base rate.

Syndication saw Agricultural Bank of Taiwan, Industrial Bank of Taiwan and Cosmo Bank join in at lower tiers.

Proceeds are for the purchase of real estate and to cover construction costs.

Siliconware Precision Industries has signed a $359 million-equivalent dual-currency financing through mandated lead arrangers and bookrunners Bank of Taiwan, Citi, Mega International Commercial Bank and Taiwan Cooperative Bank.

The five-year term loan consists of a NT$3.3 billion term tranche and a $250 million portion, which are priced at 60bp over the 90-day secondary CP rate with a pre-tax interest rate floor of 1.5% and 108bp over three-month Libor respectively.

Syndication saw Chang Hwa Commercial Bank and Far Eastern International Bank join in as co-arrangers, while E Sun Commercial Bank, Export-Import Bank of the Republic of China, HSBC (Taiwan), Hua Nan Commercial Bank and Mizuho came in as participants.

Proceeds are for capital expenditure purposes.

Vietnam

Bank for Investment & Development of Vietnam signed a $48 million-equivalent one-year term loan through sole bookrunner and mandated lead arranger SMBC.

The facility is split into one ¥2.8 billion tranche and one $12 million portion.

Syndication saw First Commercial Bank join in as participant.

Proceeds are for working capital purposes.

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