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Overview

Bank of China contributes $10 million USD to a $100 million USD term loan tranche of a $200 million USD syndicated debt facility to Hyundai Capital Service for unspecified purposes

Commitments (Constant USD, 2023)$20,043,305
Commitment Year•2005Country of Activity•KoreaDirect Recipient Country of Incorporation•KoreaOverseas Jurisdiction•KoreaSector•Banking And Financial ServicesFlow Type•Loan

Status

Project lifecycle

Pipeline: Commitment

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date
Sep 23, 2005

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

  • Bank of Nova Scotia (Scotiabank)
  • Busan Bank (formerly Pusan Bank)
  • National Agricultural Cooperative Federation (NH) (NACF)
  • Standard Chartered Bank PLC
  • Sumitomo Mitsui Banking Corporation (SMBC)

State-owned Commercial Banks

  • China Construction Bank Corporation (CCB)

Receiving agencies

Private Sector

  • Hyundai Capital Service Inc. (HCS)

Loan description

September 2005 $200 million USD syndicated debt facility to Hyundai Capital Service Financing for unspecified purposes in South Korea

Interest type•Unknown

Narrative

Full Description

Project narrative

On September 23, 2005, a syndicate of 16 banks — including the Seoul Branch of Bank of China (BOC) and China Construction Bank Corporation (CCB) — entered into a $200 million USD syndicated debt facility agreement with Hyundai Capital Service Inc. (HCS) — a South Korea-incorporated provider of consumer financial services ranging from auto-financing, private financing, and corporate financing that acts as the financial service unit of Hyundai Motor Group headquartered in Seoul jointly owned by Hyundai Motor Company (56.12% stake) and by GE Capital Corporation, the financial services division of American multinational conglomerate General Electric Company (43.88% stake) — for unspecified purposes. The debt was divided into a $100 million USD floating rate notes (FRN) tranche and a $100 million USD term loan tranche. The Seoul Branch of BOC contributed $10 million USD to the $100 million USD term loan tranche, as captured by Record ID#110226, and CCB contributed $7 million USD, as captured by Record ID#110227. In addition to the Seoul Branch of BOC and CCB, the following lenders contributed to the respective amounts to the loan syndicate: Sumitomo Mitsui Banking Corporation (SMBC) ($28 million USD), National Agricultural Cooperative Federation ($20 million USD), Standard Chartered Bank PLC ($17 million USD), Bank of Nova Scotia (Scotiabank) and Scotiabank (Hong Kong) ($9 million USD), and Pusan Bank ($9 million USD). SMBC, National Agricultural Cooperative Federation, and Standard Chartered Bank served as lead arrangers. Scotiabank and Scotiabank (Hong Kong) and Pusan Bank served as arrangers. The Seoul Branch of BOC joined in syndication as a co-arranger. CCB joined in syndication as senior manager. The $100 million USD FRN tranche was contributed by the respective banks: Bayerische Hypo-un Vereinsbank (Hong Kong) ($17 million USD), Standard Chartered Bank ($9 million USD), Industrial Bank of Korea ($13 million USD), Korea Development Bank ($9 million USD), Scotiabank and Scotiabank (Hong Kong) ($6 million USD), Pusan Bank ($6 million USD), Kookmin Bank (Hong Kong) ($8 million USD), Daegu Bank ($7 million USD), Mascareignes International Bank ($7 million USD), Shinsei Bank ($7 million USD), Sumitomo Trust & Banking (Singapore) ($7 million USD), and BBVA (Hong Kong) ($4 million USD). Bayerische Hypo-un Vereinsbank (Hong Kong) and Standard Chartered Bank served as lead arrangers. Industrial Bank of Korea, KDB, Scotiabank and Scotiabank (Hong Kong), and Pusan Bank served as arrangers. Kookmin Bank (Hong Kong), Daegu Bank, Mascareignes International Bank, Shinsei Bank, and Sumitomo Trust & Banking (Singapore) served as co-arrangers. BBVA (Hong Kong) served as senior manager.

Staff comments

1. AidData does not consider floating rate notes, as bonds, to be financial flows. Therefore, it has not included the participants solely in the FRN tranche to be cofinanciers.