CITIC contributes to a $2 billion USD syndicated revolving credit facility to Nokia for refinancing and back-up purposes (Linked to Record ID#104375)

Project narrative

In early May 2005, a syndicate of 22 banks — including the Bank of China (BOC) and China International Trust Investment Corporation (CITIC; now known as CITIC Group) — signed a $2.000 billion USD syndicated revolving credit facility (RCF) agreement with Nokia Corporation — a Finnish multinational telecommunications, information technology, consumer electronics, and phone manufacturing corporation, originally established as a pulp mill in 1865 headquartered in Espoo, Finland and listed on the Nasdaq Helsinki and New York Stock Exchange — for refinancing and back-up purposes. This loan carried a maturity period of seven years, a final maturity date in 2012, an interest rate of LIBOR plus a margin of 15 basis points (bps), a commitment fee of 4.5 bps per annum, and a utilization fee of 2.5 bps if over 50% of the RCF was drawn. The proceeds were to be used by the borrower to refinance its existing $2 billion USD loan accrued in June 2003 and to used for back-up purposes for the U.S. and Euro Commercial Paper Programmes. Record ID#104375 captures BOC's contribution. Record ID#104376 captures CITIC's contribution. In addition to BOC and CITIC, the following lenders contributed to the loan syndicate: ABN AMRO Bank N.V., Citigroup, Deutsche Bank, Nordea Bank Abp, Bank of America Corporation, Barclays Bank Plc, Banco Bilbao Vizcaya Argentaria, S.A. (BBVA), Calyon, Credit Suisse First Boston (CSFB), Goldman Sachs Group Inc., HSBC Bank Plc, ING Group N.V., JPMorgan Chase Bank, N.A. (Chase Bank), Lehman Brothers Inc., Royal Bank of Scotland (RBS), Skandinaviska Enskilda Banken AB (SEB), Société Générale Corporate & Investment Bank (SGCIB), Standard Charterd Bank PLC, and UBS AG. ABN AMRO, Citigroup, Deutsche Bank, and Nordea served as lead banks; Citigroup and Deutsche served as joint bookrunners. BOC, CITIC, Bank of America, Barclays, BBVA, CSFB, Goldman Sachs, HSBC, ING, JPMorgan Chase, Lehman Brothers, Morgan Stanley, RBS, SEB, SGCIB, Standard Chartered, and UBS served as arrangers. The loan was oversubscribed in syndication but not increased, with banks offered $100 million USD tickets. In 2008, the RCF was reduced to $1.923 billion USD for unknown purposes. As of December 31, 2009, the RCF was fully undrawn. As of December 31, 2010, the RCF was fully undrawn. Then in 2011, Nokia entered into a €1.5 billion EUR RCF that refinanced the $2 billion USD RCF.