loan-week-may-2329

Loan week, May 23-29

A roundup of the latest syndicated loan market news.
Australia

Qantas AirwaysÆ $385 million equivalent 12-year aircraft financing was launched into general syndication last week via sole mandated lead arranger and bookrunner Bank of China (Hong Kong).

The margin of the dual-currency facility is 75bp over Libor or BBSY and has a commitment fee of 30bp. The amortising credit features an average life of roughly 7.5 years.

Banks are welcome to come in at three levels. Lead arrangers committing $30 million or above get an upfront fee of 52.5bp, lead managers lending $20 million to $29 million gain 37.5bp, and managers giving $10 million to $19 million take 22.5bp.

Proceeds will be used to purchase two A380 and one A330 Airbus aircraft. The planes will be delivered this year.

Banks have until the middle of June to revert.

China

A $45 million three-year term loan for China Huiyuan Juice Group was inked on May 19 via sole lead arranger and bookrunner ABN AMRO, who lent $10 million. Participants Rabobank contributed $15 million, while Commerzbank and Oversea-Chinese Banking Corporation ended up with $10 million each.

Proceeds are to finance the borrowerÆs capital expenditures and for working capital purposes.

A $100 million three-year financing for Shanghai Zhenhua Port Machinery has received two commitments so far at the top-level. Calyon and Royal Bank of Scotland are the mandated arrangers and bookrunners.

The bullet loan pays a spread of 215bp over Libor.

The closing date for senior syndication is scheduled for the end of this week and general syndication will be launched soon after.

Proceeds are for working capital requirements.

Wuhan Iron & SteelÆs $200 million 3.5-year credit is being well received in syndication with over $100 million from both written and verbal commitments so far. The bookrunners are Calyon and Royal Bank of Scotland.

The deal features a spread of 180bp over Libor, flexed-up from 110bp.

Syndication has seen around 10 banks joining in. Banks have until next week to revert.

Hong Kong

COSCO Pacific ShippingÆs $97.2 million 10-year revolver was sealed on May 21 via lead arrangers BNP Paribas and Mizuho Corporate Bank on a club basis.

Allocations saw BNP Paribas committing $57.2 million, while Mizuho Corporate Bank held $40 million.

A HK$9 billion dual-tranche facility for Hutchison Telecommunications International and Hutchison Telephone Co was signed on May 15 on a club basis.

The 364-day financing, which pays a spread of 55bp over Hibor, is split into a HK$3 billion term loan and a HK$6 billion revolver.

Mandated lead arrangers ABN AMRO, BayernLB, Calyon, Rabobank, DBS Bank, Fortis Bank, HSBC, ING Bank, Standard Chartered Bank and Sumitomo Mitsui Banking Corporation committed HK$900 million apiece.

Proceeds are for general corporate purposes.

Coordinator Hang Seng Bank has approached existing relationship banks for Tongda Group HoldingsÆ HK$300 million three-year term loan.

The deal pays a spread of 110bp over Hibor and has an average life of two years. It is likely the facility will be completed on a club-style basis.

The signing ceremony is expected to take place by next week.

A $200 million debt package for TPV Technologies was launched into syndication last week via a consortium of eight mandated arrangers û ABN AMRO, Bank of America, BNP Paribas, CITIC Ka Wah Bank, ING Bank, Oversea-Chinese Banking Corporation, Rabobank and Standard Chartered Bank. All the lenders are also acting as bookrunners with the exception of Bank of America, CITIC Ka Wah Bank and Oversea-Chinese Banking Corp.

Syndication is slated to close in late June.

India

Vedanta ResourcesÆ $1 billion take-out facility has yet to be formally launched into syndication. The coordinating arrangers and bookrunners are ABN AMRO, Bank of Tokyo-Mitsubishi UFJ, Barclays, Calyon, Citi, Standard Chartered Bank and Sumitomo Mitsui Banking Corporation.

The five-year amortising term loan pays a spread of 200bp over Libor in the first year and steps up to 300bp afterwards.

Mizuho Corporate Bank and State Bank of India have both joined the syndicate at the top level prior to the launch, with two more lenders processing approvals.

Proceeds are to take out the one-year bridge facility signed last August to support the acquisition of a 51% stake in India-listed iron-ore exporter Sesa Goa from Japan-listed Mitsui & Co.

Indonesia

PT IndosatÆs $200 million five-year fundraising is being well received in general syndication via mandated leads DBS Bank and ING Bank.

The deal is currently oversubscribed and the $100 million greenshoe option is likely to be exercised. The average life of the deal is 4.02 years. Offshore banks are paid a margin of 185bp over Libor while onshore lenders get 190bp.

Proceeds are to refinance an existing debt facility, and to provide for capital expenditure and working capital requirements.

The deadline for commitments is slated for early next week, with signing targeted for mid-June.
Singapore

An S$850 million five-year construction loan for Parkway Holdings was launched into general syndication on May 19 via bookrunners Calyon, DBS Bank, HSBC, Oversea-Chinese Banking Corporation, Royal Bank of Scotland and Standard Chartered Bank.

The margin is priced at 200bp over SOR. A roadshow was held in Singapore on May 27 with approximately 30 banks in attendance.

Banks have until June 23 to revert. Proceeds are for the acquisition of a land site and for the construction of a new hospital.

STX Pan OceanÆs $167 million 12-year ship financing was completed on May 23 via sole bookrunner BNP Paribas.

Final allocations saw BNP Paribas and Fortis contributing $83.5 million apiece as equal-status arrangers.

The funds are to finance the construction of a large LNG shipping vessel.

Yantai Raffles ShipyardÆs $125 million three-year credit has generated keen interest from a number of banks while in general syndication. The sole mandated lead arranger and bookrunner is ABN AMRO.

Banks are expected to revert by mid-June.

Taiwan

A $100 million three-year revolver for Dynamic Apex Macao Commercial Offshore was launched into syndication earlier this month via Taipei Fubon Commercial Bank. There is one commitment from Taishin International Bank so far.

The facility, guaranteed by its parent company Ju Teng International, pays a spread of 100bp over Libor and has a commitment fee of 15bp.

Banks are welcome to join at four levels. Arrangers committing $20 million or more earn 25bp, lead managers joining with $12.5 million to $19.9 million get 17.5bp and managers providing between $7.5 million and $12.4 million receive 10bp.

The deadline for commitments is expected to be on June 20. Those joining by June 12 gain an early bird fee of 2.5bp.

Proceeds are for working capital purposes.

Fortune Union CNSÆ NT$3.6 billion four-year term loan was sealed on May 21 via mandated lead arrangers and bookrunners Bank of Taiwan, Cathay United Bank and Taiwan Cooperative Bank.

The debt package is split into NT$630 million and NT$950 million tranches, which pay a margin of 104bp over the post office exchange rate, and a NT$2.02 billion tranche with a margin of 129bp.

Taiwan Cooperative Bank earned a 45bp fee by committing NT$950 million. Bank of Taiwan and Cathay United Bank got 40bp by contributing NT$600 million apiece. Taiwan Business Bank joined as an arranger by holding NT$600 million and gained a 40bp fee. Participants Bank of Kaohsiung and KingÆs Town Bank took 15bp by lending NT$300 million each, while EnTie Commercial Bank got the same by giving NT$250 million.

Proceeds are for working capital purposes.

Fulltech Fiber Glass CorporationÆs NT$3.8 billion loan was signed on May 26 through coordinating arrangers and bookrunners Agricultural Bank of Taiwan, Bank of Taiwan, Chang Hwa Commercial Bank, Hua Nan Commercial Bank, Land Bank of Taiwan and Shin Kong Commercial Bank.

The facility is split into NT$700 million and NT$2.5 billion seven-year term loans and a NT$600 million four-year term loan. The margin of the deal is 115bp over the secondary CP rate and the commitment fee is 15bp if the usage is under 60% of the total amount.

Committing NT$500 million apiece, the leads gained 25bp. Cathay United Bank and Taiwan Business Bank contributed NT$250 million each, while Mega International Commercial Bank, Taishin International Bank and Taiwan Cooperative Bank lent NT$100 million apiece.

Proceeds are to finance the construction of a factory.

Walsin Lihwa HoldingÆs three-year revolver will be upsized to a range of $300 million to $350 million from $250 million.

The debt package pays a spread of 55bp over Libor. Banks joining with over $25 million get the mandated lead arranger and bookrunner titles. Arrangers contributing between $15 million and $24 million take an 18bp participation fee. Managers holding $10 million to $14 million earn 15bp while participants lending $5 million to $9 million get 10bp.

Twelve to 13 banks are said to be committing more than $25 million and will join the deal as mandated lead arrangers and bookrunners while more than one bank will join as participants.

Proceeds are for working capital purposes. Signing is expected to take place on June 9.

Vietnam

Bank of Investment and Development of VietnamÆs $78 million 364-day term credit was signed on May 20 via Landesbank Baden and Standard Chartered Bank.

Cathay United Bank and Intesa Sanpaolo joined as lead arrangers, while Commerzbank, Export-Import Bank of the Republic of China and Zurcher Kantonalbank came in as arrangers.

The deal pays a spread of 135bp over Libor. Proceeds are for general corporate purposes.

¬ Haymarket Media Limited. All rights reserved.

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