Narrative
Full Description
Project narrative
On November 10, 2021, financial close was reached on a deal in which a syndicate of nine banks — including the Bank of China (BOC) and the Bank of Communications (BoComm) — entered into a $1.110 billion AUD ($817.75 million USD) syndicated loan agreement with Connect East Finance Pty Ltd — a special purpose vehicle owned by ConnectEast — for the Melbourne EastLink Toll Road Public-Private Partnership (PPP) 2021 Refinancing Project. This $1.110 billion AUD loan was divided into four tranches: a $300.00 million AUD ($221.01 million USD) term loan tranche with a maturity period of three years; a $300.00 million AUD ($221.01 million USD) term loan tranche with a maturity period of five years; a $300.00 million AUD ($221.01 million USD) term loan tranche with a maturity period of seven years; and a $210.00 million AUD ($154.71 million USD) term loan tranche with a maturity period of ten years. The proceeds of this loan were to be used by the borrower to refinance the EastLink Tollway PPP in Melbourne, Victoria, which consisted of 39 kilometers of tolled motorway and 6 kilometers of bypass roads at Dandenong and Ringwood, a twin three-lane 1.6 kilometer-long tunnels under the Mullum Mullum Valley, and 103 structures, including 88 bridges. BOC contributed $20.00 million AUD ($14.73 million AUD) and BoComm contributed $25.00 million AUD ($18.42 million USD) to the three-year $300 million AUD term loan tranche. Record ID#94596 captures BOC's $20 million AUD contribution to the three-year tranche. Record ID#94597 captures BoComm's $25 million AUD contribution to the three-year tranche. BOC contributed $20.00 million AUD and BoComm contributed $15.00 million AUD ($11.05 million USD) to the five-year $300 million AUD term loan tranche. Record ID#94598 captures BOC's $20 million AUD contribution to the five-year tranche. Record ID#94599 captures BoComm's $15 million AUD contribution to the five-year tranche. BOC contributed $20.00 million AUD and BoComm contributed $40.00 million AUD ($29.47 million USD) to the seven-year $300 million AUD term loan tranche. Record ID#94600 captures BOC's $20 million AUD contribution to the seven-year tranche. Record ID#94601 captures BoComm's $40 million AUD contribution to the seven-year tranche. BOC contributed $20.00 million AUD to the ten-year $210 million AUD term loan tranche. Record ID#94602 captures BOC's $20 million AUD contribution to the ten-year tranche. Then, on November 25, 2022, financial close was reached on a deal in which a syndicate of three banks — BOC, Commonwealth Bank of Australia (CBA), and Norinchukin Bank — entered into a $705.00 million AUD ($477.63 million USD) syndicated loan agreement with Connect East Finance Pty Ltd for the Melbourne EastLink Toll Road Public-Private Partnership (PPP) 2022 Refinancing Project. This loan was divided into two tranches: a $500.00 million AUD ($338.74 million USD) term loan tranche with a maturity period of two years and a $205.00 million AUD ($138.88 million USD) term loan tranche with a maturity period of five years. The proceeds were used by the borrower to refinance the Melbourne EastLink Toll Road PPP Project. The three lenders each contributed $166.67 million AUD ($112.91 million USD) to the $500 million AUD term loan tranche and $68.33 million AUD ($46.29 million USD) to the $205 million AUD term loan tranche. Record ID#101561 captures BOC's contribution to the $500 million AUD term loan tranche and Record ID#101562 captures BOC's contribution to the $205 million AUD term loan tranche Then, on February 10, 2023, financial close was reached on a deal in which a syndicate of four banks — the Industrial and Commercial Bank of China (ICBC), CBA, Hua Nan Commercial Bank (HNCB), and Meiji Yasuda Life Insurance — entered into a $295.00 million AUD ($204.09 million USD) syndicated term loan agreement with Connect East Finance Pty Ltd for the Melbourne EastLink Toll Road Public-Private Partnership (PPP) 2023 Refinancing Project. This loan carried a maturity period of 10 years and a final maturity date of February 10, 2033. The proceeds were to be used by the borrower to refinance the $500 million AUD term loan tranche signed on November 25, 2022. Each of the four lenders contributed $73.75 million AUD ($51.02 million USD) to the loan syndicate; Record ID#101563 captures ICBC's contribution.
Staff comments
1. In 2011, ConnectEast was acquired by Horizon Roads Pty Ltd, an investment company managed Sydney-based CP2 consortium on behalf of eight investors: Britain's Universities Superannuation Scheme, the Netherlands' APG, National Pension Service of Korea, China's Leader Investment Corp, Denmark's Arbejdsmarkedets Tillægspension, United States' Teachers Insurance and Annuity and the Korean Teachers Credit Union.