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Overview

China Bank of Communications contributes to $125 million USD syndicated revolving credit facility to Bristol West Holdings for debt refinancing and general corporate purposes in 2006

Commitments (Constant USD, 2023)$39,087,830
Commitment Year•2006Country of Activity•United StatesDirect Recipient Country of Incorporation•United StatesOverseas Jurisdiction•United StatesSector•Business And Other ServicesFlow Type•Loan

Status

Project lifecycle

Pipeline: Commitment

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date
Jul 31, 2006
Last repayment (originally scheduled)
Jul 30, 2011

Stakeholders

Organizations involved in projects and activities supported by financial and in-kind transfers from Chinese government and state-owned entities

Funding agencies

State-owned Commercial Banks

  • China Bank of Communications (BoCom or BoComm)

Cofinancing agencies

Private Sector

  • General Electric Capital Corporation (GECC) (GE Capital)
  • ING Capital LLC
  • JPMorgan Chase Bank, N.A. (Chase Bank, formerly the Chase Manhattan Bank)
  • LaSalle Bank, N.A.
  • Regions Financial Corporation (Regions Bank)

Receiving agencies

Private Sector

  • Bristol West Holdings, Inc.

Loan description

China Bank of Communications contributes to $125 million USD syndicated revolving credit facility to Bristol West Holdings for debt refinancing and general corporate purposes in the United States in 2006

Interest rate (t₀)•6.51%Interest type•Variable Interest RateMaturity•5 years

Narrative

Full Description

Project narrative

On July 31, 2006, financial close was reached on a deal in which a syndicate of 6 banks — including Bank of Communications Co., Ltd., New York Branch — entered into a $125 million USD syndicated loan agreement with BRISTOL WEST HOLDINGS, INC., a Florida-based insurance holding company. This loan was divided into two tranches: a $100 million USD term loan and a $25 million USD revolving credit facility. The maturity of the loan is 5 years, and the interest rate is LIBOR plus an applicable margin. The proceeds were used by the borrower for general corporate purposes and debt refinancing. While China Bank of Communications Co., Ltd., New York Branch participated in this loan, the following lenders also participated: ING Capital LLC, JPMorgan Chase Bank, N.A., LaSalle Bank, National Association, Regions Bank, and General Electric Capital Corporation.

Staff comments

1. The entirety of the 2006 loan contract can be accessed at https://contracts.justia.com/companies/bristol-west-holdings-inc-55660/contract/1114224/. The dropbox link is accessible here: https://www.dropbox.com/scl/fi/pq2c60q22t2bohp8jkut6/Source_ID_218885.pdf?rlkey=i5za65kd7dlvnasd19rhaot4w&st=zvhorrsp&dl=0 2. BRISTOL WEST HOLDINGS, INC. is an American insurance holding company primarily focused on providing private passenger automobile insurance. It operates as a subsidiary of Farmers Group, Inc., which is part of Zurich Financial Services. 3. AidData estimates the interest rate by adding the 6-month average LIBOR rate in July 2006 and an applicable margin based on credit ratings (1%). 4. The individual contributions of the 6 lenders to this $125 million USD syndicated loan are unknown. For the time being, AidData has estimated the contribution of Bank of Communications Co., Ltd. by assuming that each lender contributed an equal amount ($20.83 million USD) to the loan syndicate.