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Overview

Agricultural Bank of China contributes $30 million USD to a $150 million USD syndicated loan to Busan Bank for social and sustainable financing purposes

Commitments (Constant USD, 2023)$28,347,574
Commitment Year2022Country of ActivityKoreaDirect Recipient Country of IncorporationKoreaSectorBanking And Financial ServicesFlow TypeLoan

Status

Project lifecycle

Pipeline: Commitment

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date
Sep 1, 2022
Last repayment (originally scheduled)
Aug 31, 2027

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

  • Agricultural Bank of China (ABC)

Cofinancing agencies

Private Sector

  • Chang Hwa Commercial Bank Limited
  • CTBC Bank (formerly Chinatrust Commercial Bank)
  • Hua Nan Commercial Bank, Ltd. (HNCB)
  • Mega International Commercial Bank Co., Ltd. (formerly International Commercial Bank of China)
  • Mizuho Bank, Ltd.
  • National Bank of Kuwait S.A.K. (NBK)
  • Sunny Bank
  • Taichung Commercial Bank
  • Taipei Fubon Commercial Bank Co., Ltd. (Taipei Fubon Bank)
  • Taishin International Bank (Taishin Bank)
  • Taiwan Business Bank (TBB)
  • The Shanghai Commercial & Savings Bank, Ltd. (SCSB)
  • Yuanta Commercial Bank (Yuanta Bank)

State-owned Banks

  • Bank of Kaohsiung (BOK)
  • Bank of Taiwan
  • Export-Import Bank of the Republic of China, Taipei
  • Industrial Bank of Korea (IBK)
  • Land Bank of Taiwan Co., Ltd. (LBOT)
  • PT Bank Negara Indonesia (Persero)
  • Taiwan Cooperative Bank

Receiving agencies

Private Sector

  • Busan Bank (formerly Pusan Bank)

Loan description

Agricultural Bank of China contributes to a USD $150 million syndicated loan to Busan Bank for social and sustainable financing purposes in South Korea in 2022

Interest rate (t₀)4.07071%Interest typeVariable Interest RateLoan tenor3-month rateMaturity5 years

Narrative

Full Description

Project narrative

In or around September 2022, a syndicate of 22 lenders — including the Agricultural Bank of China (ABC) — entered into a $150 million USD syndicated loan agreement with Busan Bank (formerly Pusan Bank) for social and sustainable financing purposes. The facility carried a maturity period of five years and a variable interest rate of 105 basis points over a three-month SOFR rate. ABC contributed $30 million USD to the $150 million USD facility. In addition to ABC, the following lenders played these roles and contributed the following amounts: Mizuho Bank (sole mandated lead arranger and bookrunner, $10 million USD); Taipei Fubon Commercial Bank (lead arranger, $18 million USD); Bank of Taiwan (lead arranger, $16 million USD); Chang Hwa Commercial Bank (lead arranger, $16 million USD; CTBC Bank (lead arranger, $16 million USD); Land Bank of Taiwan (lead arranger, $16 million USD); Mega International Commercial Bank (lead arranger, $16 million USD); National Bank of Kuwait (lead arranger, $16 million USD); Shanghai Commercial & Savings Bank (lead arranger, $16 million USD); Taichung Commercial Bank (lead arranger, $16 million USD); Taiwan Business Bank (lead arranger, $16 million USD); Hua Nan Commercial Bank (Hong Kong Branch) ($8 million USD); Hua Nan Commercial Bank (offshore banking) ($8 million USD); Export-Import Bank of the Republic of China (arranger, $14 million); Bank of Kaohsiung (arranger, $12 million USD); Sunny Bank (arranger, $12 million USD); Taishin International Bank (arranger, $12 million USD); Taiwan Cooperative Bank (arranger, $12 million USD); Yuanta Commercial Bank (arranger, $10 million USD); Bank Negara Indonesia (arranger, $6 million USD); and Industrial Bank of Korea (arranger, $4 million USD). Busan Bank will use the proceeds of the loan to finance assets which support sustainability goals, including those related to the United Nations' sustainable development goals (SDGs).