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Overview

ICBC participates in $200 million syndicated senior loan to Canacol Energy for refinancing and capital expenditures

Commitments (Constant USD, 2023)$10,461,984
Commitment Year•2015Country of Activity•ColombiaDirect Recipient Country of Incorporation•ColombiaSector•Industry, Mining, ConstructionFlow Type•Loan

Status

Project lifecycle

Implementation

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date
Apr 24, 2015
Start (actual)
Apr 24, 2015
First repayment (originally scheduled)
Apr 23, 2017
Last repayment (originally scheduled)
Apr 23, 2019

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

  • Industrial and Commercial Bank of China (ICBC)

Cofinancing agencies

Private Sector

  • Banco Davivienda Salvadoreño, S.A. (Banco Davivienda El Salvador) (formerly Banco Salvadoreño (Bancosal))
  • Banco de Occidente (Panamá) S.A.
  • Banco Internacional de Costa Rica (BICSA Panama)
  • Banco Latinoamericano de Comercio Exterior (Bladex)
  • BNP Paribas S.A.
  • Citigroup Inc.

Receiving agencies

Private Sector

  • Canacol Energy Ltd.

Collateral providers

Private Sector

  • Canacol Energy Ltd.

Loan description

ICBC contribution to USD $200 million syndicated senior loan to Canacol Energy for refinancing and capital expenditures in Colombia in 2015

Grace period•2 yearsInterest type•Variable Interest RateMaturity•4 years

Collateral

All material assets of Canacol Energy.

Narrative

Full Description

Project narrative

On April 24, 2015, ICBC contributed $10 million to a $200 million syndicated senior loan agreement Canacol Energy for refinancing and capital expenditures. Other members of the syndicate included BNP Paribas (Lead arranger), Banco Davivienda, Banco de Occidente, BICSA, Citigroup, and Bladex. The loan carried interest of LIBOR plus a 4.75% margin with a 4-year maturity and 2-year grace period. Interest is payable quarterly and principal repayable in eight equal quarterly installments beginning on December 31, 2017. The loan was secured against all material assets of Canacol Energy. The purpose of this loan was to replace an existing $176 million senior secured term loan with Credit Suisse. At the time of signing, the carrying value of the Credit Suisse senior secured term loan included $6.1 million of transaction costs netted against the principal amount which were fully expensed at the time of settlement. On September 30, 2015, Canacol Energy prepaid $20 million on the BNP senior secured term loan, thereby reducing the principal to $180 million.