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Overview

China Merchants Bank contributes $62.5 million USD to the $500 million USD syndicated revolving credit facility to Florida Power & Light Company for refinancing and general corporate purposes (Linked to Record ID#105271 and #105271)

Commitments (Constant USD, 2023)$64,623,206
Commitment Year•2013Country of Activity•United StatesDirect Recipient Country of Incorporation•United StatesSector•EnergyFlow Type•Loan

Status

Project lifecycle

Completion

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date
May 3, 2013
Last repayment (originally scheduled)
May 3, 2016

Stakeholders

Organizations involved in projects and activities supported by financial and in-kind transfers from Chinese government and state-owned entities

Ultimate beneficial owners

At least 25% host country ownership

Funding agencies

State-owned Commercial Banks

  • China Merchants Bank Co., Ltd.

Cofinancing agencies

Private Sector

  • BNP Paribas S.A.
  • DNB Bank ASA (formerly DnB NOR ASA)
  • Intesa Sanpaolo S.P.A. (formerly Cariplo/Banca Intesa/BCI)
  • Santander Bank, N. A. (formerly Sovereign Bank)
  • SunTrust Bank

State-owned Commercial Banks

  • Agricultural Bank of China (ABC)
  • Bank of China (BOC)

Receiving agencies

Private Sector

  • Florida Power & Light Company (FPL)

Loan description

May 2013 $500 million USD syndicated revolving credit facility to Florida Power & Light Company for refinancing and general corporate purposes in the United States

Interest type•UnknownMaturity•3 years

Narrative

Full Description

Project narrative

On May 3, 2013, a syndicate of eight lenders — including the New York Branch of the Agricultural Bank of China (ABC), the Bank of China (BOC), and China Merchants Bank Co., Ltd. — entered into a $500.00 million USD syndicated senior revolving credit facility (RCF) agreement with Florida Power & Light Company (FPL) — a Florida-incorporated power utility company and wholly-owned subsidiary of NextEra Energy, Inc. based in Juno Beach, Florida — for refinancing and general corporate purposes. This loan carried a maturity period of three years and a final maturity date of May 3, 2016. The proceeds were to be used by the borrower to refinance its three-year RCF that expired on May 3, 2013 and for its general corporate purposes, including to provide back-up liquidity for the borrower's commercial paper program and other short-term borrowings and to provide additional liquidity in the event of a loss to the borrower's operating facilities such as a transmission and distribution property loss. Each of the 8 lenders, including ABC, BOC, and China Merchants Bank, contributed $62.50 million USD to the $500 million USD RCF. Record ID#105270 captures ABC's contribution. Record ID#105271 captures BOC's contribution. Record ID#105272 captures China Merchants Bank's contribution. In addition to the three Chinese state-owned banks, the following lenders contributed to the RCF: BNP Paribas S.A., DNB ASA, Intesa Sanpaolo, Sovereign Bank, and SunTrust Bank. ABC NY Branch served as a co-lead arranger. On May 2, 2016, a syndicate of lenders entered into a $500 million USD syndicated RCF with FPL for refinancing and general corporate purposes. This RCF carried a maturity period of three years. The proceeds were to be used by the borrower to refinance the 2013 RCF and for general corporate purposes.

Staff comments

1. Florida Power & Light Company, the principal wholly-owned subsidiary of NextEra Energy, Inc., is the largest power utility in Florida and has the third-largest number of customers of any electric utility in the United States. It is a Juno Beach, Florida-based power utility company serving roughly 5 million customers and 11 million people in Florida and had about 10,000 employees as of the end of 2012.