Loan week, May 7-13

A roundup of the latest syndicated loan market news.

Australia

A $225 million equivalent three-year multi-currency financing for Amcor has been completed as a club deal via mandated lead arrangers Bank of Tokyo-Mitsubishi UFJ, Mizuho Corporate Bank and Standard Chartered Bank (Hong Kong).

With Amcor Finance (USA) and Amcor UK Finance acting as guarantors, the debt package consists of a $117.5 million term loan and a $107.5 million revolving credit funded equally by the leads.

Proceeds are to refinance an existing $50 million facility signed in June 2009 and for general corporate purposes.

China

Hefei Rong An Power Machinery's Rmb2.4 billion financing has been signed via sole bookrunner Shanghai Pudong Development Bank.

Syndication saw Bank of China, Huishang Bank and Agricultural Bank of China (Anhui) join in at lower tiers.

Proceeds are to support the construction of an engine production factory.

Xinxiang Zhongxin Chemical Industry has successfully obtained a Rmb479 million fundraising via sole bookrunner Standard Chartered Bank (China).

The five-year term loan is priced at 93% of the three-to-five year PBOC lending rate with a one-year extension option.

Final allocations saw the bookrunner take Rmb139 million, while co-arrangers Bank of Tokyo-Mitsubishi UFJ (Beijing) and China Minsheng Bank (Zhengzhou) lent Rmb130 million each. Senior manager United Overseas Bank (Shanghai) joined in with Rmb80 million.

Proceeds are to finance the construction of a methanol production line facility.

A Rmb305 million financing for Yieh Phui (China) Technomaterial (signed on March 25) has been further upsized to Rmb345 million following participation from Bangkok Bank.

Guaranteed by the parent, Yieh Phui Enterprises, the three-year term loan is priced at the PBOC rate.

Final allocations saw the bookrunner BNP Paribas (China) and mandated lead arrangers China Merchants Bank, Hang Seng Bank (China) and Oversea-Chinese Banking Corp (China) lend Rmb70 million each, while Bangkok Bank and First Sino Bank took Rmb40 million and Rmb25 million respectively.

Proceeds are for refinancing and general corporate purposes.

Hong Kong

Longfor Properties' HK$2.2 billion financing has been signed as a club deal via mandated leads Bank of East Asia, China Construction Bank (Hong Kong), Hang Seng Bank, HSBC and Standard Chartered Bank (Hong Kong).

The four-year term loan is priced at 285bp over Hibor.

Final allocations saw Bank of East Asia lend HK$600 million and Standard Chartered Bank (Hong Kong) take HK$500 million. China Construction Bank (Hong Kong) and HSBC joined in with HK$400 million apiece, while Hang Seng Bank ended up with HK$250 million.

Proceeds are for general corporate funding purposes.

India

Centennial Steel's Rs57 billion 9.5-year term loan has been sealed via sole lead arranger SBI Capital Markets. 

Allahabad Bank, Andhra Bank, Axis Bank, Bank of Baroda, Canara Bank, Corporation Bank, State Bank of India, HDFC Bank, ICICI Bank, IDBI Bank, Indian Overseas Bank, Jammu & Kashmir Bank, Oriental Bank of Commerce, Punjab National Bank, Punjab & Sind Bank, State Bank of Bikaner & Jaipur, State Bank of Hyderabad, State Bank of Mysore, State Bank of Patiala, State Bank of Travancore and UCO Bank came in as participants.

Proceeds are for project financing purposes.

An Rs8.5 billion 14.5-year fundraising for Gopalpur Ports has been completed via sole mandated lead arranger SBI Capital Markets.

The term loan is priced at the Indian Benchmark Prime Lending Rate and will be repaid in 46 quarterly installments.

Final allocations saw Punjab National Bank, India Infrastructure Finance and Union Bank of India take Rs1.8 billion, Rs1.4 billion and Rs1 billion respectively. Oriental Bank of Commerce, State Bank of Patiala and UCO Bank each committed Rs700 million, while Bank of India and Dena Bank contributed Rs500 million apiece. Indian Bank joined in with Rs488 million and State Bank of Travancore and United Bank each comtributed Rs350 million.

Proceeds are for project financing purposes.

Tata Steel has secured a Rs36.4 billion 9.5-year term loan via sole bookrunner SBI Capital Markets.

Syndication saw Allahabad Bank, Andhra Bank, Axis Bank, Bank of Baroda, Canara Bank, Corporation Bank, HDFC Bank, ICICI Bank, IDBI Bank, Indian Overseas Bank, Jammu & Kashmir Bank, Oriental Bank of Commerce, Punjab & Sind Bank, Punjab National Bank, SBI Life Insurance Company Limited, State Bank of Bikaner & Jaipur, State Bank of Hyderabad, State Bank of India, State Bank of Mysore, State Bank of Patiala, State Bank of Travancore and UCO Bank join in as participants.

Proceeds are to finance the expansion of a crude steel manufacturing facility.

South Korea

A $40 million dual-tranche financing for Samsung-BP Chemical has been sealed on a club basis via mandated leads Bank of Tokyo-Mitsubishi UFJ and Sumitomo Mitsui Banking Corp.

The debt package is split equally into a one-year revolving credit and a three-year term loan.

Proceeds are to finance the borrower's offshore foreign currency payments and for capital expenditure purposes.

PT Kolon Ina's $40 million fundraising was signed on May 11 via sole mandated lead arranger Korea Development Bank.

The two-year term loan offers a margin of 305bp over Libor.

Final allocations saw the lead take $14 million, while co-arrangers Export-Import Bank of Korea and Hana Bank lent $8 million each. Woori Bank pledged $6 million and Kookmin Bank ended up with $4 million.

Proceeds are to refinance a $50 million facility signed in May 2008.

Taiwan

A $200 million five-year revolver for Cayman President Holdings was signed on May 4 via bookrunners Bank of Tokyo-Mitsubishi UFJ, Cathay United Bank, E.Sun Commercial Bank, Far Eastern International Bank, Hua Nan Commercial Bank, Mega International Commercial Bank, Mizuho Corporate Bank, Taipei Fubon Commercial Bank, Taishin International Bank and Taiwan Cooperative Bank. The deal was upsized from $100 million.

The revolver offers a margin of 57bp over Libor with a 10bp commitment fee.

Final allocations saw Mega International Commercial Bank commit $25 million, while Mizuho Corporate Bank and Taipei Fubon Commercial Bank each lent $20 million. Bank of Tokyo-Mitsubishi UFJ, Cathay United Bank, E.Sun Commercial Bank, Far Eastern International Bank, Hua Nan Commercial Bank, Taishin International Bank and Taiwan Cooperative Bank took $15 million apiece. HSBC, Land Bank of Taiwan and First Commercial Bank contributed $10 million, $8 million and $6 million respectively, while Shanghai Commercial & Savings Bank and Chang Hwa Commercial Bank pledged $3 million each.

Proceeds are for refinancing and working capital purposes.

A NT$22.8 billion refinancing for Chunghwa Picture Tubes was inked on May 10 via mandated lead arrangers Bank of Taiwan, Chang Hwa Commercial Bank, Chinatrust Commercial Bank, Hua Nan Commercial Bank, Land Bank of Taiwan, Shin Kong Life Insurance, Taipei Fubon Commercial Bank, Taishin International Bank and Taiwan Cooperative Bank.

The deal is split into a NT$22.5 billion five-year term loan and a NT$300 million one-year guarantee facility with four one-year extension options, which pay a margin of 100bp to 150bp over the primary CP rate (depending on the borrower's net profit margin) and 100bp over the primary CP rate respectively.

Syndication saw Bank Sinopac, Cathay United Bank, First Commercial Bank, Industrial Bank of Taiwan, Jih Sun International Bank, Mega Bills Finance, Mega International Commercial Bank, Shanghai Commercial & Savings Bank, Ta Chong Bank and Taiwan Business Bank join in as participants.

Proceeds are for the refinancing of existing facilities.

Hope Chateau Construction's NT$500 million four-year deal has been completed via mandated lead arrangers Agricultural Bank of Taiwan, Chang Hwa Commercial Bank, First Commercial Bank and Hua Nan Commercial Bank.

The deal consists of a NT$125 million guarantee facility and a NT$375 million revolver, which feature a 150bp guarantee fee and a margin of 180bp over Hua Nan Commercial Bank's one-year time deposit rate respectively.

Joining in as participants were Bank of Kaohsiung, DBS Bank, Shanghai Commercial & Savings Bank, Taiwan Business Bank and Taiwan Cooperative Commercial Bank.

Proceeds are for working capital purposes.

Inotera Memories successfully secured a NT$35 billion five-year term loan on May 10 via joint bookrunners Bank of Taiwan, Chang Hwa Commercial Bank, Credit Agricole, DBS Bank, E. Sun Commercial Bank, First Commercial Bank, Hua Nan Commercial Bank, Land Bank of Taiwan, Mega International Commercial Bank, Taipei Fubon Commercial Bank, Taishin International Bank, Taiwan Business Bank and Taiwan Cooperative Bank.  The deal was upsized from NT$27 billion.

The term loan is priced at 80bp over the secondary CP rate with an interest rate floor of 1.6% for the first 12 months. 

The bookrunners committed NT$2.1 billion apiece, while co-arrangers ANZ and Yuanta Commercial Bank took NT$1.4bn apiece. Bank Sinopac, Cathay United Bank, Ta Chong Bank and Taiwan Shin Kong Commercial Bank joined in as managers with NT$590 million each. Participants China Development Industrial Bank and Jih Sun International Bank lent NT$560 million and NT$ 510 million respectively, while Agricultural Bank of Taiwan, Far Eastern International Bank and Industrial Bank of Taiwan pledged NT$400 million apiece.  Shanghai Commercial & Savings Bank came in with NT$300 million as a participant.

Proceeds are for capital expenditure purposes.

A NT$1.8 billion five-year bullet transaction for Zenitron Corp and Zenitron (HK) was completed on May 11 via coordinating arrangers E.Sun Commercial Bank, First Commercial Bank, Hua Nan Commercial Bank, Taipei Fubon Commercial Bank, Taishin International Bank and Taiwan Cooperative Bank.

The debt package comprises a NT$1.8 billion term loan and a $54 million revolving credit which are priced at 70bp over the secondary CP rate and 70bp over Libor respectively. However, the total outstanding amount cannot exceed NT$1.8 million.

Final allocations saw the leads contribute NT$190 million each, while Chang Hwa Commercial Bank lent NT$170 million. Bank Sinopac, Far Eastern International Bank and Taiwan Business Bank held NT$140 million each and Shanghai Commercial & Savings Bank committed NT$70 million.

Proceeds are for refinancing and working capital purposes.

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