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Overview

ABC participates in $500 million syndicated loan with the State Bank of India (Hong Kong) for general corporate purposes

Commitments (Constant USD, 2023)$31,923,791
Commitment Year2017Country of ActivityIndiaDirect Recipient Country of IncorporationIndiaSectorBanking And Financial ServicesFlow TypeLoan

Status

Project lifecycle

Pipeline: Commitment

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date
Jun 1, 2017
Last repayment (originally scheduled)
May 31, 2020

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

  • Agricultural Bank of China (ABC)

Cofinancing agencies

Private Sector

  • Axis Bank
  • Barclays Bank PLC
  • BNP Paribas S.A.
  • Chang Hwa Commercial Bank Limited
  • Credit Agricole S.A. (Crédit Agricole Group)
  • DBS Bank Ltd.
  • Gunma Bank
  • HSBC (Hong Kong and Shanghai Banking Corporation)
  • Mizuho Bank, Ltd.
  • MUFG Bank, Ltd. (Formerly Bank of Tokyo-Mitsubishi UFJ, Ltd. (BTMU))
  • Standard Chartered Bank PLC
  • Taishin International Bank (Taishin Bank)
  • United Overseas Bank Limited (UOB)
  • Wells Fargo Bank N.A.
  • Westpac Banking Corporation

State-owned Banks

  • Bank of India Limited (BOI)
  • Export-Import Bank of the Republic of China, Taipei
  • National Bank of Abu Dhabi PJSC (NBA)
  • Punjab National Bank (PNB)

State-owned Commercial Banks

  • China Bank of Communications (BoCom or BoComm)

Receiving agencies

State-owned Banks

  • State Bank of India (SBI)

Loan description

In 2017, Chinese banks contribute to USD 500 million syndicated loan to State Bank of India (Hong Kong) for general corporate purposes

Grant element10.1887%Interest rate (t₀)2.06806%Interest typeVariable Interest RateLoan tenor3-month rateMaturity3 years

Narrative

Full Description

Project narrative

In June 2017, the State Bank of India signed a $500 million syndicated loan agreement with 21 lenders for general corporate purposes. Agricultural Bank of China (ABC) participated in the syndicate and contributed $30 million. Bank of Communications participated in the syndicated and contributed $80 million. Other syndicate participants included: Wells Fargo, Axis Bank, Bank of Tokyo-Mitsubishi UFJ, Barclays, BNP Paribas, Credit Agricole, DBS, HSBC, Mizuho, National Bank of Abu Dhabi, Standard Chartered, UOB, Westpac, Bank of India, Punjab National Bank, Gunma Bank, Chang Hwa Commercial Bank, Export-Import Bank of the Republic of China and Taishin International Bank. The loan carried a 3-year maturity and an interest rate of LIBOR plus a 0.85% margin. Its other borrowing terms of the loan are unknown.

Staff comments

1. AidData has estimated the loan's all-in interest rate -- at the time it was issued -- by adding 0.85% to average 6-month LIBOR in June 2017 (1.43228%). 2. The borrower had included a greenshoe option allowing it to increase the deal size to $750 million but ultimately decided to stick to the original amount of $500 million. 3. The deal had 13 mandated lead arrangers and bookrunners. Among them, Wells Fargo kept the highest amount on its books at the end of syndication, taking $30 million. The remaining banks, which included Axis Bank, Bank of Tokyo-Mitsubishi UFJ, Barclays, BNP Paribas, Credit Agricole, DBS, HSBC, Mizuho, National Bank of Abu Dhabi, Standard Chartered, UOB and Westpac, retained $14 million each.