Narrative
Full Description
Project narrative
On July 27, 2018, financial close was reached on a deal in which a syndicate of 17 banks, including Bank of China, New York Branch, entered into a $500,000,000 USD syndicated loan agreement with The Interpublic Group of Companies, Inc. (IPG)—a global advertising and marketing solutions company headquartered in New York, USA. The loan has a three-year maturity with an interest rate tied to LIBOR plus an applicable margin ranging from 1.00% to 2.00%. The proceeds of the loan were used to finance IPG’s acquisition of Acxiom Marketing Solutions, a marketing data and technology company, and to cover associated transaction costs and expenses. Bank of China, New York Branch contributed $11,339,563.86 USD to this loan. In addition, the following lenders participated: Citibank, N.A. ($60,000,000 USD); JPMorgan Chase Bank, N.A. ($60,000,000 USD); Bank of America, N.A. ($60,000,000 USD); Morgan Stanley Bank, N.A. ($60,000,000 USD); MUFG Bank, Ltd. ($23,720,516.24 USD); Banco Bilbao Vizcaya Argentaria, S.A. ($23,720,516.24 USD); BNP Paribas ($23,720,516.24 USD); HSBC Bank USA, National Association ($23,720,516.24 USD); ING Bank N.V., Dublin Branch ($23,720,516.24 USD); Lloyds Bank plc ($23,720,516.24 USD); Wells Fargo Bank, N.A. ($23,720,516.24 USD); Citizens Bank, N.A. ($16,199,376.96 USD); PNC Bank, National Association ($16,199,376.96 USD); U.S. Bank National Association ($16,199,376.96 USD); Danske Bank A/S ($11,339,563.86 USD); Goldman Sachs Bank USA ($11,339,563.86 USD); Intesa Sanpaolo S.p.A. ($11,339,563.86 USD). The acquisition was completed on October 1, 2018.
Staff comments
1. The Interpublic Group of Companies, Inc. (IPG) is a global advertising and marketing firm headquartered in New York City, USA. It provides a range of services, including advertising, digital marketing, media planning, public relations, and strategic consulting, through its vast network of agencies worldwide. 2. Acxiom is a Conway, Arkansas-based database marketing company. The company collects, analyzes and sells customer and business information used for targeted advertising campaigns. 3. AidData estimates the interest rate by adding the 6-month average LIBOR rate for July 2018 (approximately 2.33%) to the applicable margin (1.125%) resulting in a total interest rate range of 3.455%. 4. The loan agreement can be accessed at https://www.dropbox.com/scl/fi/in40nqn2s2iappgbkxvk3/5db4102e-1787-4c26-8de2-2814e94081fd.pdf?rlkey=kwoq9m9cjlpfryygzo8keixyv&st=f85d7fe5&dl=0