Narrative
Full Description
Project narrative
On April 12, 2022, a syndicate of 32 banks — including the Grand Cayman Branch of the Bank of China (BOC) and ICBC Turkey Yatırım Menkul Değerler A.Ş. — entered into $342,500,000 and EUR 329,300,000 sustainability-linked term loan facility agreements with Akbank T.A.Ş. The loan proceeds were to be utilized by the borrower for trade finance purposes, including refinancing of the existing debt. The loan carried a maturity period of 367 days. The term loan facilities included sustainability-linked margin adjustments whereby the margin will be determined according to the borrower’s performance against the selected Key Performance Indicators (KPIs) over the life of the term loan facilities. The term loan facilities incorporated two KPIs pertaining to replacement of Credit PVC cards with rPVC cards and electricity consumption from renewable sources which are aligned to Akbank T.A.Ş’s overall sustainability strategy. Record ID#105623 captures BOC's contribution to the $342.5 million USD tranche. Record ID#105624 captures ICBC's contribution to the $342.5 million USD tranche. Record ID#105627 captures BOC's contribution to the EUR 329.3 million tranche. Record ID#105628 captures ICBC's contribution to the EUR 329.3 million tranche. Participants in the syndicate included Abu Dhabi Commercial Bank PJSC, Bank of America, Emirates NBD Capital Limited, ICBC Turkey Yatırım Menkul Değerler A.Ş. and Standard Chartered Bank (as Coordinators); Bank of America, Emirates NBD Capital Limited and Standard Chartered Bank (as Sustainability Coordinators); Abu Dhabi Commercial Bank PJSC, Bank of America, Emirates NBD Capital Limited, ICBC Turkey Yatırım Menkul Değerler A.Ş., Standard Chartered Bank, Citibank N.A., London Branch, Deutsche Bank AG, London Branch, ING Bank N.V., J.P. Morgan Securities plc, Mizuho Bank, Ltd., SOCIETE GENERALE, Sumitomo Mitsui Banking Corporation, London Branch (as Lead Arrangers); BNP Paribas, Commerzbank Aktiengesellschaft, Filiale Luxemburg, HSBC Bank Middle East Limited, mBank S.A., MUFG Bank, Ltd. (as Bookrunners & Mandated Lead Arrangers); and ABC International Bank plc, Bank of China Limited, Grand Cayman Branch, Barclays Bank PLC, Bper Bank Luxembourg S.A., CaixaBank, S.A., Credit Suisse AG, London Branch, Doha Bank Q.P.S.C., DZ Bank AG, Goldman Sachs International Bank, HBL Bank UK Ltd, Habib Bank Limited, Bahrain (Wholesale Branch), Mashreqbank psc, Morgan Stanley Senior Funding, Inc., Union De Banques Arabes ET Françaises (UBAF), Zürcher Kantonalbank (as Arrangers).
Staff comments
1. The size of BOC's contribution to the EUR 329,300,000 syndicated loan is unknown. For the time being, AidData assumes equal contributions across the 32 banks that participated in the syndicate (EUR 10,290,625). This issue warrants further investigation. 2. Akbank is one of the leading banks in Turkey with over $84 billion consolidated assets as of 2016YE. Incorporated in 1948, the bank is 48.9% owned by H.Ö. Sabancı Holding, affiliated Institutions and Individuals, and 51.1% free float as at March 2017.