Narrative
Full Description
Project narrative
On April 8, 2019, a syndicate of four banks — the Bank of China (BOC), HSBC Bank Australia Limited, National Australia Bank Limited (NAB), and Westpac Banking Corporation — entered into a syndicated loan agreement with Blackmores Limited — an Australian health supplements firm — for general corporate purposes. The syndicated loan was divided into three tranches: a tranche with a three-year maturity and final maturity in April 2022, a tranche with a four-year maturity and final maturity in April 2023, and a tranche with five-year maturity and final maturity in April 2025. The proceeds of these funds were intended to be used for general corporate purposes. Record ID#93274 captures BOC's contribution to the tranche with a maturity date of April 2022. Record ID#93275 captures BOC's contribution to the tranche with a maturity date of April 2023. Record ID#93276 captures BOC's contribution to the tranche with a maturity date of April 2024. Then, in April 2022, a syndicate of four banks — the Bank of China (BOC), Westpac Banking Corporation, HSBC Bank, and National Australia Bank Limited (NAB) — entered into a $150 million AUD syndicated loan agreement with Blackmores Limited for refinancing purposes. This loan was divided into a $75 million AUD sustainability-linked Tranche A with a maturity period of three years and a final maturity date in March 2025 and a $75 million AUD Tranche B with a maturity period of five years and a final maturity date in March 2027. As a sustainability-linked loan (SLL), Tranche A featured Key Performance Indicators (KPIs) that assessed Blackmores' progress in reduction of scope one, scope two, and measure scope three emissions, exceeding guidance from the Science Based Targets Initiative, and making its supply chain ethical by addressing exploitation risks based on the Sustainability Linked Loan Principles; the interest rate would be increased or decreased based on the borrower's performance against these KPIs. The proceeds were to be used for refinancing purposes, namely refinancing the borrower's existing debt. HSBC and Westpac served as Joint Sustainability Coordinators for this loan. Record ID#101250 captures BOC's contribution to the $150 million AUD syndicated loan. As of June 30, 2022, $9.5 million AUD under the entire $150 million AUD syndicated loan had been drawn down.
Staff comments
1. To estimate the contribution of BOC, AidData has assumed that each lender contributed to both tranches of this $150 million AUD syndicated loan. The individual contributions of the four lenders to this $150 million AUD syndicated loan are unknown. For the time being, AidData has estimated BOC's contribution by assuming that each lender contributed equally ($37,500,000 AUD) to the loan. 2. It is unclear whether BOC contributed to both tranches of this $150 million AUD syndicated loan. For the time being, AidData has coded the maturity period of this record by taking the average of the maturity of the two tranches {[(3 + 5) / 2] = 4}.