Narrative
Full Description
Project narrative
On October 29, 2003, a syndicate of 28 banks — including the Seoul Branch of the Bank of China (BOC), the Bank of China (Luxembourg) S.A., and China Construction Bank Corporation (CCB) — signed a $400 million USD syndicated loan agreement with LG.Philips LCD Co., Ltd. — a South Korea-incorporated transistor liquid crystal display (TFT-LCD) manufacturer headquartered in Seoul, then a 50:50 joint venture between LG Electronics Inc. and Koninklijke Philips N.V. later branded as LG Display Co., Ltd. — for refinancing purposes. This loan was divided into a portion with a maturity period of two years and a portion with a maturity period of three years. The proceeds were used by the borrower to refinance an existing facility. The Seoul Branch of BOC contributed $5 million USD, as captured by Record ID#108438. BOC (Luxembourg) contributed $7 million USD, as captured by Record ID#108439. CCB contributed $30 million USD, as captured by Record ID#108440. In addition to the three Chinese state-owned banks, the following lenders contributed to the loan syndicate: ABN AMRO Bank N.V. ($30 million USD), Korea Development Bank (KDB) ($30 million USD), Woori Bank ($30 million USD), DBS Bank ($30 million USD), Mizuho Corporate Asia (H.K.) Limited ($30 million USD), Bank of Nova Scotia (Scotiabank) ($23 million USD), Commerz (East Asia) Limited ($19 million USD), the Singapore Branch of Norddeutsche Landesbank Girozentrale (NORD/LB) ($19 million USD), the Hong Kong Branch of Coöperatieve Rabobank U.A. ($19 million USD), the Hong Kong Branch of Hana Bank ($14 million USD), Oversea-Chinese Banking Corp. (OCBC) ($14 million USD), the Singapore Branch of Sumitomo Trust & Banking Co ($14 million USD), the Tokyo Branch of Banca di Roma S.p.A. ($7 million USD), the Seoul Branch of Bank One ($7 million USD), the Offshore Banking Branch of Chinatrust Commercial Bank ($7 million USD), the Singapore Branch of Crédit Industriel et Commercial (CIC) ($7 million USD), Daegu Bank ($7 million USD), the Singapore Branch of Hua Nan Commercial Bank, Ltd. (HNCB) ($7 million USD), the Hong Kong Branch of International Bank of Taipei (IBT) ($7 million USD), the Singapore Branch of Krungthai Bank ($7 million USD), the Hong Kong Branch of Malayan Banking Berhad (Maybank) ($7 million USD), the Hong Kong Branch of Sanpaolo IMI S.p.A. ($7 million USD), the Tokyo Branch of Bumiputra-Commerce Bank ($6 million USD), KEXIM Bank UK Limited ($5 million USD), and Busan Bank ($5 million USD). ABN AMRO, KDB, Woori, DBs, CCB, and Mizuho Corporate Bank served as arrangers. Scotiabank, Commerz, NORD/LB, and Rabobank served as co-arrangers. Hana Bank, OCBC, and Sumitomo Trust & Banking served as lead managers. Banca di Roma, BOC (Luxembourg), Bank One, Chinatrust Commercial Bank, CIC, Daegu, HNCB, TBT, Krungthai, Maybank, Bumiputra Commerce Bank, the Seoul Branch of BOC, KEXIM Bank (UK), and Busan served as senior managers. The loan was oversubscribed during syndication but not increased.
Staff comments
1. While it is known there was a portion with a maturity period of two years and a portion with a maturity period of three years, it is unclear how and if the Chinese lenders contributed to both portions. For the time being, AidData has assumed they contributed to both and has taken the average of the two maturities {[(2 + 3) / 2 ] = 2.5 years} as the maturity period of this record.