Loan week

A round up of the latest syndicated loan market news.
Australia

Mandated arranger Commonwealth Bank of Australia has completed a A$69.3 million multi-tranche financing for Ironbridge CapitalÆs acquisition of Barbeques Galore. The loan is split into a five year A$18 million and $4 million tranche æAÆ, a five year A$3 million tranche æBÆ, a one year A$6 million tranche æCÆ and a three year working capital facility. Bank of Tokyo-Mitsubishi UFJ joined in syndication.

Bradken Resources signed a A$230.5 million three year loan with banks on March 31. Lead arranger Westpac Banking Corp held A$97.3 million while co-lead arrangers Bank of Scotland took A$71.4 million and Commonwealth Bank of Australia lent A$61.8 million.

The deal comprises a A$170.5 million tranche and a A$60 million bilateral provided by Westpac. Proceeds are for general corporate requirements.

A A$600 million term loan for Record Investments has been completed via mandated arranger Commonwealth Bank of Australia with a final take of A$250 million. Joining as lead managers are ANZ Investment Bank lending A$200 million and ABN AMRO and Westpac Banking Corp committing A$75 million apiece. Proceeds are to refinance existing debt.

Trendwest South Pacific has completed a A$170 million three month facility via lenders Royal Bank of Scotland and Westpac Banking Corp. Trendwest South Pacific Finance and Trendwest South Pacific (NZ) are providing guarantees.


Hong Kong

China Resources Enterprise has provided a verbal mandate to a consortium of banks for a HK$3 billion refinancing exercise. Proceeds will refinance a HK$3 billion dual tranche loan that was signed in October 2002 and arranged by Hang Seng Bank, Bank of China, BayernLB, Credit Lyonnais, HSBC, Standard Chartered Bank, BNP Paribas and ICBC Asia.

Coordinating arrangers BNP Paribas and Standard Chartered Bank have launched a HK$1.5 billion four year facility for Arc of Triumph Development Company into general syndication. Chow Tai Fook Enterprises is providing a guarantee.

The loan carries a margin of 70bp over Hibor and banks have been invited to join on three levels. Arrangers committing HK$175 million or above receive a management fee of 28bp, co-arrangers lending HK$125 million to HK$174 million gain 24bp and senior managers contributing HK$75 million to HK$124 million earn 20bp.

Proceeds will partially finance the construction of a development in Macau that will comprise retail, hotel and residential facilities. A site visit will be held on April 10 with bank responses due by April 24.

Hongkong United Dockyards has successfully completed a HK$1 billion three year refinancing. Bank of Tokyo-Mitsubishi UFJ, HSBC and Standard Chartered Bank provided the funds on a club basis.

Equal shareholders Swire Pacific and Hutchison International are providing a guarantee. Proceeds will refinance a HK$1 billion seven year loan signed in July 2000 and arranged by Commerzbank (East Asia).

Johnson Electric HoldingsÆ $530 million financing was inked on March 31. Mandated lead arrangers Citigroup and HSBC held $80 million apiece.

Coordinating arrangers include Bank of Tokyo-Mitsubishi UFJ lending $80 million, Mizuho Corporate Bank providing $70 million, Bank of China (Hong Kong) and BNP Paribas committing $55 million each and DBS Bank absorbing $40 million. Rabobank International (Hong Kong) took the title of arranger with a ticket of $30 million.

Fortis Bank joined as a senior manager holding $20 million while Banca di Roma (Hong Kong) and BBVA came on board as managers with commitments of $10 million apiece.

A HK$4.4 billion dual tranche 3-1/2 year credit for Sino Land was signed last Friday. Mandated lead arrangers HSBC and ICBC (Asia) held HK$620 million apiece.

Mandated coordinating arrangers are Bank of Communications lending HK$600 million, Bank of Tokyo-Mitsubishi UFJ, Bangkok Bank (Hong Kong) and Wing Lung Bank committing HK$500 million each, Mizuho Corporate Bank providing HK$400 million, Sumitomo Mitsui Banking Corp contributing HK$360 million and Bank of China (Hong Kong) with a ticket of HK$300 million.

The facility comprises a HK$2.6 billion tranche and a HK$1.8 billion portion. The margin is 33.5bp over Hibor.

Mandated coordinating arranger HSBC is syndicating a $60 million three year term loan for Yantai North Andre Juice. The deal was launched last Friday.

The facility carries a margin of 110bp over Libor and fees to the market are on four levels. Arrangers lending $9 million receive 50bp flat, co-arrangers providing $7 million gain 40bp, senior managers contributing $5 million earn 30bp and managers pledging $3 million get 20bp.

This is the apple juice producerÆs first foray into the loans market and bank responses are due by April 24.


India

Alok IndustriesÆ $75 million five year term loan has so far secured eight banks in general syndication with more to revert by mid-April. Barclays Capital, Bank of India, Commonwealth Bank of Australia, State Bank of India and United Overseas Bank are the mandated lead arrangers.

Commitments have so far been received from SBI International (Mauritius) lending $10 million, Indian Bank, Persia International Bank and Syndicate Bank providing $5 million apiece, Taiwan Business Bank committing $4 million, Fuhwa Bank contributing $3 million and Chang Hwa Commercial Bank and Hua Nan Commercial Bank pledging $2.5 million each. The deal offers an all-in of 204bp over Libor to top level arrangers in general.

Essar SteelÆs $120 million five year fundraising has received a $10 million commitment from Indian Bank. Barclays Capital and State Bank of India are running the deal.

A handful of Indian investors including Bank of Baroda and Bank of India are expected to join shortly. Arab Investment Corp, Export Development Canada and KfW joined earlier. The facility pays an all-in of 269bp over Libor and should complete syndication towards the end of the month.

The Ñ11.8 billion 364 day credit for IDBI Bank is progressing in syndication, so far securing Ñ3.5 billion worth of commitments. DBS Bank, DZ Bank, Natexis Banques Populaires and RZB-Austria are leading the deal.

AKA Bank and United Overseas Bank have joined as lead arrangers while Banca Nazionale del Lavoro, Banca Popolare di Verona and Sampo Bank have come on board as lead managers. Up to six more investors are processing their approvals and syndication is set to complete in mid-April.

Indian Railway Finance Corp completed its $125 million five year yen equivalent credit last Thursday, March 30. Mandated lead arrangers BNP Paribas and Calyon lent $12 million each and Banc of America, Barclays Capital and Standard Chartered Bank, Bank of Tokyo-Mitsubishi UFJ, DBS Bank, DZ Bank, KfW, BayernLB and Sumitomo Mitsui Banking Corp held $9.5 million apiece. Dexia Bank and Sumitomo Trust & Banking provided $7.75 million each for the title of arranger.

The $100 million six year IFC B-loan for Infrastructure Development Finance was signed on March 29 and allocations finalised. Mandated lead arrangers Calyon and HSBC lent $45 million each. Cathay United Bank and San Paolo joined as co-arrangers with tickets of $5 million apiece.

Mandated arrangers Chinatrust Commercial Bank, Natexis Banques Populaires, RZB-Austria and Shanghai Commercial Savings Bank should complete syndication of Videocon IndustriesÆ $50 million 3-1/2 year facility today (Friday).

Krungthai Bank and BBVA are the latest investors to participate. Bank Sinopac, International Commercial Bank of China, Land Bank of Taiwan and Raiffeisenlandesbank Niederoesterreich-Wien have already come on board.

WockhardtÆs $250 million five year financing was launched into general syndication on April 3. Barclays Capital, Citigroup, ICICI Bank, Bank of Baroda, Rabobank and State Bank of India are the mandated lead arrangers.

Sumitomo Mitsui Banking Corp has joined early with a $10 million commitment. The loan features a margin of 105bp over Libor and fees to the market are on three levels. Arrangers providing $15 million or above earn 60bp flat, co-arrangers lending $10 million to $14 million gain 50bp and lead managers contributing $5 million to $9 million receive 40bp.

Meetings are scheduled to be held in London today (Friday), the Middle East over the weekend and in Singapore and Taiwan next week. Commitments are due by April 28.


Indonesia

Indofood Sukses Makmur is in the market with a $100 million two year term loan via mandated arranger ING Wholesale Banking. The deal is priced at 162.5bp over Libor and proceeds are for general corporate requirements. Bank responses are due by April 13.


Japan

Softbank Corp has mandated Calyon, Citibank, Deutsche Bank, Goldman Sachs Mizuho Corporate Bank, Sumitomo Mitsui Banking Corp and WestLB to arrange a Ñ1.28 trillion financing for the Ñ1.75 billion acquisition of VodafoneÆs business in Japan.
Malaysia

Bumiputra-Commerce BankÆs $300 million five year term loan has seen BayernLB join in sub-underwriting. ABN AMRO, Bank of Tokyo-Mitsubishi UFJ, Citigroup and Standard Chartered Bank are leading the deal. Mandated lead arrangers earn an all-in of 22.5bp over Libor.


New Zealand

New Zealand Poultry Holdings has secured a NZ$145 million five year multi-tranche financing from BOS International and Westpac Banking Corp. The lead arrangers provided the funds equally on a club basis.

The loan is split into a NZ$45 million tranche, a NZ$55 million portion, a NZ$35 million facility and a NZ$10 million tranche.


Singapore

Millenia HotelÆs S$180 million five year facility was signed on March 31. The borrower is a joint venture between Pontiac Land Group and City Realty.

Mandated lead arranger Sumitomo Mitsui Banking Corp held S$88 million and arranger Malayan Banking took S$25 million. Joining as co-arrangers are RHB Bank (Singapore) committing S$20 million and First Commercial Bank (Singapore) providing S$15 million. Lead managers include the Singapore branches of Bank of East Asia and Chang Hwa Commercial Bank contributing S$10 million each, Bank of India and Southern Bank pledging S$5 million apiece and Indian Bank with a ticket of S$2 million.


South Korea

Hyundai Capital ServicesÆ $160 million two year fundraising was signed on March 31. Mandated lead arrangers Calyon and Korea Development Bank held $37.5 million each while National Agricultural Cooperative Federation and Sumitomo Mitsui Banking Corp took $40 million apiece. Bank of Communications joined as a co-arranger with a hold of $5 million.

The 20 year dual tranche ship financing for Korea Gas signed at $434.8 million last Friday after the cost of the tankers were finalised. The loan is split into a $347.84 million senior tranche and an $86.96 million junior tranche.

For the senior tranche, joint lead arrangers Bank of Nova Scotia and Sumitomo Mitsui Banking Corp held $45 million each, Citigroup, ING Bank and United Overseas Bank took $37 million apiece and Bank of Tokyo-Mitsubishi UFJ, DnB Nor Bank, Fortis Bank (Singapore) and Skandinaviska Enskilda Banken each lent $36.7 million.

Hana Bank and Woori Bank provided the junior tranche on a club basis. Proceeds of the facility will fund two LNG tankers.


Taiwan

The NT$3.18 billion three year financing for Chailease Finance was signed on March 28. Mandated arranger Mizuho Corporate Bank held NT$300 million.

Lenders include Hua Nan Commercial Bank, Chiao Tung Bank, E-Sun Commercial Bank, Farmers Bank of China, Hsinchu International Bank and Taiwan Business Bank committing NT$300 million apiece, Far Eastern International Bank lending NT$250 million, Bank of Overseas Chinese, Shin Kong Commercial Bank and Taiwan Cooperative Bank providing NT$200 million apiece, Sunny Bank absorbing NT$150 million and Hwa Tai Bank with a ticket of NT$80 million.

KNH EnterpriseÆs has secured commitments from Chinatrust Commercial Bank, Far Eastern International Bank, Taipei Business Bank and Taiwan Cooperative Bank for its NT$1.3 billion 5-1/2 year dual tranche term loan. First Commercial Bank and Industrial Bank of Taiwan are leading the deal.

Up to three more investors are awaiting credit approval and financial close should be reached by mid-April.

Powerchip Semiconductor has mandated a 10 strong arranger group to lead a NT$30 billion dual tranche fundraising. The banks are Bank of Taiwan, Cathay United Bank, Chang Hwa Commercial Bank, Chinatrust Commercial Bank, First Commercial Bank, Taipei Fubon Commercial Bank, Hua Nan Commercial Bank, Industrial Bank of Taiwan, Land Bank of Taiwan and Taiwan Cooperative Bank.

The facility comprises a NT$4 billion five year term loan and a NT$26 billion 6-1/2 year portion. The margin is 70bp over the CP rate.

Banks have been invited to participate on five tiers. Commitments of NT$1 billion or more receive 10bp flat, NT$800 million to NT$999 million gain 8bp, NT$500 million to NT$799 million earn 6bp, NT$300 million to NT$499 million get 5bp and NT$100 million to NT$299 million receive 3bp. There is also a commitment fee of 5bp.

Teco Enterprise signed a NT$1.44 billion five year dual tranche loan with 10 banks on April 3. Mandated arranger Industrial Bank of Taiwan held NT$200 million.

Hua Nan Commercial Bank joined as an arranger with a ticket of NT$200 million. Participating banks include Cathay United Bank lending NT$190 million, Bank of Taiwan, Central Trust of China and Taiwan Cooperative Bank providing NT$150 million each, Far Eastern International Bank, Hsinchu International Bank, International Commercial Bank of China and Shanghai Commercial & Savings Bank absorbing NT$100 million apiece.

The financing is split equally into a term loan and a guarantee facility. The term loan offers a margin of 70bp over the CP rate and the guarantee facility a fee of 75bp. There is also a commitment fee of 15bp. Proceeds are to refinance existing debt and to provide for working capital requirements.


The NT$500 million three year dual tranche facility for Unifosa Corp was inked on March 31. Industrial Bank of Taiwan led the deal and was joined by Bank of Taiwan, Chang Hwa Commercial Bank, Far Eastern International Bank, Farmers Bank of China, Hsinchu International Bank, Hua Nan Commercial Bank and Shanghai Commercial & Savings Bank.

¬ Haymarket Media Limited. All rights reserved.

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