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Overview

Bank of China contributes $47 million USD to $725 million USD to Globant LLC for general corporate purposes in 2023

Commitments (Constant USD, 2023)$47,000,000
Commitment Year•2023Country of Activity•United StatesDirect Recipient Country of Incorporation•United StatesSector•CommunicationsFlow Type•Loan

Status

Project lifecycle

Pipeline: Commitment

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date
May 31, 2023
Last repayment (originally scheduled)
May 29, 2028

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

  • Bank of China (BOC)

Cofinancing agencies

Private Sector

  • Banco Santander, S.A. (Santander Group) (formerly Banco Santander Central Hispano, S.A.)
  • Bank of America, N.A.
  • Bank of Nova Scotia (Scotiabank)
  • BNP Paribas S.A.
  • Citibank, N.A.
  • First-Citizens Bank & Trust Company (First Citizens Bank)
  • Goldman Sachs Bank USA
  • HSBC Bank USA, N.A.
  • JPMorgan Chase Bank, N.A. (Chase Bank, formerly the Chase Manhattan Bank)
  • PNC Bank, National Association
  • Wells Fargo Bank N.A.

Receiving agencies

Private Sector

  • Globant LLC

Loan description

Bank of China contributes to $725 million USD to Globant LLC for general corporate purposes in 2023

Interest rate (t₀)•7.07071%Interest type•Variable Interest RateMaturity•5 years

Narrative

Full Description

Project narrative

On May 31, 2023, financial close was reached on a deal in which a syndicate of 12 banks — including Bank of China — entered into a $725,000,000 USD syndicated loan agreement with Globant LLC, a San Francisco–based software and IT development company originally incorporated in Luxembourg. The maturity of the loan is not publicly disclosed, and the interest rate is the Secured Overnight Financing Rate (SOFR) plus an applicable margin. The use of proceeds was for general corporate purposes. The proceeds were used by the borrower to support general corporate purposes. While Bank of China contributed $47,000,000 USD to this loan, the following lenders also participated: Citibank ($85,000,000 USD), JPMorgan Chase Bank ($85,000,000 USD), The Bank of Nova Scotia ($85,000,000 USD), Banco Santander ($47,000,000 USD), Bank of America ($47,000,000 USD), BNP Paribas ($47,000,000 USD), First-Citizens Bank & Trust Company ($47,000,000 USD), Goldman Sachs Bank USA ($47,000,000 USD), PNC Bank ($47,000,000 USD), and Wells Fargo Bank ($47,000,000 USD).

Staff comments

1. The entirety of the loan contract can be accessed at https://www.publicnow.com/view/B3AA943F7E0C0791F311E0B804920916DEAF9FFB?1685702754 2. Globant LLC is a technology services company specializing in software development, AI, and digital transformation. Originally incorporated in Luxembourg, the company now has its U.S. headquarters in San Francisco, California. 3. AidData estimates the interest rate by adding the 6-month average SOFR in May 2023 and an applicable margin based on the company’s credit rating (1.75%).