Loan week, Sept 3-9

A roundup of the latest syndicated loan market news.

Australia

OneSteel Finance’s A$591 million dual-tranche revolver was signed on August 31 via bookrunners Commonwealth Bank of Australia, National Australia Bank and Westpac.

The bullet facility is split equally into three-year and four-year revolvers.

Syndication saw Bank of Tokyo-Mitsubishi UFJ, BNP Paribas and Sumitomo Mitsui Banking Corp join in as lead arrangers. Mizuho Corp participated as a senior lead manager, while ANZ and HSBC came in as lead managers.

Proceeds are to refinance an A$800 million loan signed in 2007.

Baypower Enterprises A$1.5 billion multi-tranche facility was launched into syndication this week via a consortium of 15 mandated lead arrangers and bookrunners.

The five-year facility comprises A$300 million and A$900 million senior term loans, a A$250 million growth capex facility and a A$50 million multi-option working capital facility.

ANZ, Bank of America (Sydney), Barclays Capital, BNP Paribas, Commonwealth Bank of Australia, Credit Agricole (Australia), Credit Suisse (Sydney), Deutsche Bank (Sydney), HSBC, Macquarie Bank, Mizuho Corporate Bank (Sydney), Natixis (Singapore), SGBT Asset Based Funding, Societe Generale (Hong Kong), Sumitomo Mitsui Banking Corp (Sydney), UBS (Australia), United Overseas Bank (Labuan) and Westpac are the leads in the financing.

Banks have been invited to join at one of three levels – banks committing A$50 million or above get the mandated lead arrangers title, while banks lending A$35 million to A$49 million receive the title of arranger. Banks giving A$20 million to A$34 million come in as lead managers.

Proceeds are to support the leveraged buyout of Healthscope by Carlyle Group and TPG Capital. Roadshows took place in Hong Kong on September 7, and in Singapore and Sydney on September 8.

Hong Kong

KSH International has secured a $168 million 10-year term loan on a club basis via mandated leads ANZ, Bank of America, BNP Paribas, Societe Generale and Standard Chartered Bank.

The financing features a margin of 160bp over Libor and is guaranteed by Hanjing Shipping.

Final allocations saw ANZ, Bank of America and Societe Generale commit $34 million each, while BNP Paribas, Natixis and Standard Chartered Bank lent $22 million apiece.

Proceeds are to refinance a ship financing facility used to acquire LNG carrier Ras Laffan.

A HK$1.9 billion three-year term loan for TCC International Holdings has been sealed via bookrunners Bank of Taiwan and Standard Chartered Bank.  The deal was oversubscribed and upsized from HK$1.6 billion.

The bullet loan is priced at 85bp over Hibor with a two-year extension option.

Syndication saw bookrunners Bank of Taiwan and Standard Chartered Bank commit HK$210 million and HK$160 million respectively, while mandated lead arrangers Hang Seng Bank, Land Bank of Taiwan and Yuanta Commercial Bank pledged HK$160 million apiece. Co-arrangers First Commercial Bank and Taiwan Cooperative Bank took HK$150 million each, while senior managers Cathay United Bank, Chinatrust Commercial Bank, E Sun Commercial Bank, Far Eastern International Bank, Hua Nan Commercial Bank, Mega International Commercial Bank and Taiwan Business Bank held HK$100 million apiece.  Ta Chong Bank lent HK$70 million.

Proceeds are for refinancing existing indebtedness and general corporate purposes.

Viewide Properties has obtained a HK$900 million club deal via coordinating arrangers BNP Paribas (Hong Kong) and Standard Chartered Bank (Hong Kong).

The three-year financing is priced at 66bp over Hibor and is guaranteed by Hong Kong business tycoon Joseph Lau Luen-Hung.

Final allocations saw Standard Chartered Bank (Hong Kong) contribute HK$630 million, while BNP Paribas (Hong Kong) lent HK$270 million.

Proceeds are for refinancing and general corporate purposes.

India

ACB (India)’s Rs1.1 billion nine-year term loan was completed on September 1 via sole bookrunner and mandated lead arranger YES Bank.

The facility will be repaid in 26 quarterly installments with a 2.5-year grace period.

Syndication saw the lead provide Rs420 million, while participants Punjab & Sind Bank and State Bank of Hyderabad ended up with Rs400 million and Rs250 million respectively.

Proceeds are to support a 30MW thermal power project in Chhattisgarh, India.

A Rs38.2 billion 14.5-year term loan for Monnet Power has been sealed via sole bookrunner and mandated lead arranger Infrastructure Development Finance.

Sponsored by Monnet Ispat & Energy, the loan will be repaid in 40 quarterly installments with a one year grace period.

Participants were Axis Bank, Bank of Baroda, Bank of India, Central Bank of India, Federal Bank, IDBI Bank, Indian Bank, LIC Housing Finance, Punjab National Bank, State Bank of Bikaner & Jaipur, State Bank of India, State Bank of Patiala, UCO Bank, Union Bank and YES Bank.

Proceeds are to support a 1,050MW coal fired power plant project in Orissa, India.

Rural Electrification Corp’s $400 million five-year term loan was sealed on September 7 via bookrunners Bank of Tokyo-Mitsubishi UFJ and State Bank of India. The loan was oversubscribed and upsized from $200 million.

Bookrunners committed $100 million each, while mandated lead arrangers Mizuho Corporate Bank contributed $75 million. Sumitomo Mitsui Banking Corp gave $50 million, while arranger Bank of Taiwan (Hong Kong) committed $20 million. Lead managers Bank of East Asia, Chinatrust Commercial Bank, Hua Nan Commercial Bank (Singapore), Mega International Commercial Bank (Labuan) and Taishin International Bank lent $10 million each, while Taiwan Business Bank (Hong Kong) ended up with $5 million.

Proceeds are for general corporate purposes.

Supreme Manor Wada Bhiwandi Infrastructure’s Rs3.2 billion 12-year term loan was sealed last week via sole bookrunner and mandated lead arranger SBI Capital Markets.

The deal is priced at 100bp below the Indian benchmark prime lending rate with a commitment fee of 120bp. It will be repaid in 36 quarterly installments with a one-year grace period.

Allahabah Bank, Bank of India, Indian Overseas Bank, L & T Infrastructure Finance, Oriental Bank of Commerce, State Bank of India, State Bank of Patiala and Union Bank of India joined in as participants.

Proceeds are for a highway project in India.

A Rs71.5 billion 10-year term loan for Videocon Telecommunications was signed last week via sole bookrunner and mandated lead arranger SBI Capital Markets.

There is a commitment fee of 120bp and the loan will be repaid in 26 quarterly installments.

Participants were Bank of Baroda, Bank of Maharashtra, Central Bank of India, Corporation Bank, Dena Bank, Indian Bank, Indian Overseas Bank, Life Insurance Corporation of India, Oriental Bank of Commerce, Punjab National Bank, State Bank of Bikaner & Jaipur, State Bank of Mysore, State Bank of Patiala, UCO Bank, Union Bank of India, United Bank of India and Vijaya Bank.

Proceeds are to support a GSM network development project in India.

Philippines

First Gen Corp has successfully secured a $142 million floating-rate term loan via sole bookrunner and issue manager BDO Capital & Investment Corp.

Allied Bank Corp, Bank of the Philippine Islands, Banco de Oro, Maybank, Mizuho Corporate Bank, Rizal Commercial Banking Corp, Security Bank, Union Bank of the Philippines and Robinsons Savings Bank participated in this financing.

Proceeds are for investment, capital expenditure requirements, refinancing and general corporate purposes.

San Miguel Corp
’s $1.0 billion five-year term loan facility was signed in late August via original mandated arrangers and bookrunners ANZ, Bank of Tokyo-Mitsubishi UFJ, Chinatrust (Philippines) Commercial Bank, Credit Agricole, DBS Bank, HSBC, ING Bank, Maybank, Mizuho Corporate Bank, Standard Chartered Bank and Sumitomo Mitsui Banking Corp. The facility was upsized from $880 million.

The five-year facility is priced at 240bp over Libor.

Banco De Oro Unibank, Bank of China (Grand Cayman) and Bank of China (Manila) joined in as lead arrangers while Mega International Commercial Bank (Offshore Banking) and Mega International Commercial Bank (Manila) came in as arrangers. Bangkok Bank (Manila), Cathay United Bank and Export-Import Bank of the Republic of China participated in the facility as managers.

Proceeds are to refinance existing debt facilities and for general corporate purposes.

Singapore

AFPD secured a $360 million dual-tranche financing on September 3 via a consortium of eight mandated lead arrangers and bookrunners.

The five-year term loan consists of a $170 million tranche and a $190 million portion. The facility offers a spread of 135bp over Libor and is guaranteed by AU Optronics Corp.

Final allocations saw bookrunners ANZ, Bank of Taiwan, BNP Paribas, Cathay United Bank, Credit Agricole, DBS Bank, Mega International Commercial Bank and Mizuho Corporate Bank take $41 million each, while Chang Hwa Commercial Bank and First Commercial Bank came in as arrangers with $16 million apiece.

Proceeds are for refinancing, capital expenditure and working capital purposes.

A S$220 million four-year and three-month club facility for Maxlee Development has been inked via mandated lead arrangers Oversea-Chinese Banking Corp and United Overseas Bank.

Proceeds are to finance a residential land and construction project.

United Engineers Development’s S$220 million three-year term loan has been secured on a club basis via mandated lead arrangers HSBC, Maybank (Singapore) and Oversea-Chinese Banking Corp.

Proceeds are to finance the land and construction cost of a property development project.

Taiwan

A NT$3.8 billion three-year revolving credit for Amtran Technology was signed on September 6 via mandated lead arrangers Chinatrust Commercial Bank, E Sun Commercial, Land Bank of Taiwan, Mega International Commercial Bank and Shanghai Commercial & Savings Bank. The deal was upsized from NT$3.2 billion.

The revolver comprises two tranches of NT$3.8 billion and $119 million, but the sum of both tranches together cannot exceed NT$3.8 billion equivalent. The margin is priced at 45bp over the secondary CP rate and 57bp over Libor for the New Taiwan dollar and US dollar tranches respectively.

Taiwan Business Bank and Taiwan Cooperative Bank joined in as co-arrangers, while Chang Hwa Commercial Bank, Hua Nan Commercial Bank and Yuanta Commercial Bank ended up as  managers.

Proceeds are for refinancing existing debt and working capital purposes.

Sole mandated lead arranger Chinatrust Commercial Bank has completed a $48 million three-year revolver for Asia Optical International. The deal was oversubscribed and upsized from $40 million.

The credit features a spread of 80bp over Libor with a two-year extension option.

Final allocations saw the lead and E Sun Commercial Bank take $7 million and $5 million respectively, while Cathay United Bank, Chang Hwa Commercial Bank, HSBC and Taiwan Cooperative Bank lent $5 million each. Bank of Taiwan, First Commercial Bank, Industrial Bank of Taiwan, Land Bank of Taiwan, Mega International Commercial Bank and Taishin International Bank contributed $3 million apiece.

Proceeds are for working capital purposes.

Chi Mei Corp
’s NT$12.0 billion five-year facility signed in February 2009 has been amended via mandated leads Bank of Taiwan, Chang Hwa Commercial Bank, Chinatrust Commercial Bank, E Sun Commercial Bank, First Commercial Bank and Taiwan Cooperative Bank.

The margin was increased to 75bp over the secondary CP rate from 55bp.

Proceeds are for refinancing existing indebtedness and working capital purposes.

Jaysanlyn Construction
’s NT$5.8 billion five-year term loan has been signed via sole bookrunner and mandated lead arranger Land Bank of Taiwan.

The bullet loan is split into a NT$1.0 billion tranche and a NT$4.8 billion portion. Both tranches are priced at 102bp for the first year and 122bp for the second to fifth years over the average savings rate of Bank of Taiwan, Chang Hwa Commercial Bank, First Commercial Bank, Hua Nan Commercial Bank, Land Bank of Taiwan and Taiwan Cooperative Bank.

Syndication saw Agricultural Bank of Taiwan, Bank of Kaohsiung, Chang Hwa Commercial Bank, DBS Bank, First Commercial Bank, Hua Nan Commercial Bank, Taichung Commercial Bank, Taiwan Business Bank and Taiwan Cooperative Bank join in at lower tiers.

Proceeds are to support a residential project in Keelung city.

Thailand

Group Lease’s Bt1.0 billion 2.5-year term loan has been secured via sole bookrunner Kasikornbank.

Final allocations saw Kasikornbank contribute Bt500 million with participants Land & Houses Retail Bank and Industrial & Commercial Bank of China (Thailand) lending Bt250 million each.

Proceeds are for expansion purposes and for receivable-backed financing.

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