Bank of China contributes to $1.25 billion syndicated revolving credit loan to Avnet for general corporate and debt refinancing purposes in 2022 (Linked to Record ID#106002 and #106003)

Project narrative

On July 9, 2014, financial close was reached on a deal in which a syndicate of 24 banks — including Bank of China — entered into a $1.125 billion USD syndicated loan agreement with Avnet, Inc., a global distributor of electronic components and technology solutions headquartered in Phoenix, Arizona. The loan’s maturity is five years, and the interest rate is LIBOR plus an applicable margin. The proceeds were used by Avnet, Inc. for general corporate purposes, including refinancing existing debt and providing working capital. While Bank of China participated in this loan (Record ID#106002), the following lenders also participated: Bank of America, N.A.; The Bank of Nova Scotia; The Royal Bank of Scotland PLC; BNP Paribas; The Bank of Tokyo-Mitsubishi UFJ, Ltd.; JPMorgan Chase Bank, N.A.; HSBC Bank USA, National Association; Sumitomo Mitsui Banking Corporation; U.S. Bank National Association; Commerzbank AG; Standard Chartered Bank; UniCredit Bank AG; Wells Fargo Bank, National Association; Australia and New Zealand Banking Group Limited; Bayerische Landesbank; Branch Banking and Trust Company; KBC Bank N.V.; PNC Bank, National Association; The Northern Trust Company; BOKF, NA (d/b/a Bank of Arizona); Barclays Bank PLC; and Skandinaviska Enskilda Banken AB. On September 14, 2016, the borrower and the lenders entered into an agreement in which they changed certain definitions. On June 28, 2018, financial close was reached on a deal in which a syndicate of 24 banks — including Bank of China — entered into a $1.125 billion USD syndicated loan agreement with Avnet, Inc., a global distributor of electronic components and technology solutions headquartered in Phoenix, Arizona. The loan’s maturity is five years, and the interest rate is LIBOR plus an applicable margin. The proceeds were used by Avnet, Inc. for general corporate purposes, including refinancing existing debt and providing working capital. While Bank of China participated in this loan (Record ID#106003), the following lenders also contributed: Bank of America, N.A.; The Bank of Nova Scotia; MUFG Bank, Ltd.; Mizuho Bank, Ltd.; JPMorgan Chase Bank, N.A.; BNP Paribas; Branch Banking and Trust Company; Commerzbank AG, New York Branch; HSBC Bank USA, N.A.; Sumitomo Mitsui Banking Corporation; U.S. Bank National Association; Wells Fargo Bank, National Association; Bayerische Landesbank, New York Branch; DBS Bank Ltd.; KBC Bank N.V., New York Branch; PNC Bank, National Association; Standard Chartered Bank; SunTrust Bank; and UniCredit Bank AG, New York Branch. On August 4, 2020, the borrower and lenders entered into an amendment in which they changed certain definitions and also increased the interest rate margins if the company’s debt ratings decreased below BBB- as a result of COVID. However, because the company maintained its debt ratings as BBB- through the period, the interest ratings did not increase. On August 2, 2022, financial close was reached on a deal in which a syndicate of 20 banks — including Bank of China — entered into a $1.25 billion USD syndicated loan agreement with Avnet, Inc., a global distributor of electronic components and technology solutions headquartered in Phoenix, Arizona. The loan’s maturity is five years, and the interest rate is based on the Secured Overnight Financing Rate (SOFR) plus an applicable margin. The proceeds were used by Avnet, Inc. for general corporate purposes, including refinancing existing debt and providing working capital. While Bank of China participated in this loan (Record ID#106004), the following lenders also contributed: Bank of America, N.A.; BNP Paribas; JPMorgan Chase Bank, N.A.; MUFG Bank, Ltd.; The Bank of Nova Scotia; Truist Bank; Banco Santander, N.A., New York Branch; Commerzbank AG, New York Branch; HSBC Bank USA, N.A.; KeyBank National Association; Sumitomo Mitsui Banking Corporation; U.S. Bank National Association; Wells Fargo Bank, N.A.; Bayerische Landesbank, New York Branch; DBS Bank Ltd.; KBC Bank N.V., New York Branch; Standard Chartered Bank; The Huntington National Bank; and UniCredit Bank AG, New York Branch.