Bank of China contributes to $450 million term syndicated loan facility to Investec for refinancing and general corporate purposes (Linked to Project ID#96810, #96811)

On December 11, 2019, Investec Bank Plc, a private bank in South Africa, successfully closed a $450 million term syndicated loan facility for refinancing an existing facility and general corporate purposes. This facility was initially launched at ,$350 million and was more than two times oversubscribed resulting in a significant scale-back, with the final transaction closing at $450 million. A total of 27 lenders committed funding, including the London Branches of Bank of China (BOC), the Industrial and Commercial Bank of China (ICBC), and China Construction Bank (Asia) Corporation Limited (CCB). The loan carries a tenor (maturity) of two years with the option of a one-year extension and an interest rate of 3-month LIBOR plus 95 basis points. Each of the three Chinese bank participants in the syndicate is estimated to have contributed $16,666,667 ($50 million in total) Bank of America Merill Lynch, Lloyds Bank plc and Standard Chartered Bank acted as Joint Coordinators for the Facility, Bank of America Merril Lynch acted as Documentation Agent, and the Facility Agent is Bayerische Landesbank. Bookrunners and Mandated Lead Arrangers included Bank of America Merril Lynch, Lloyds Bank plc, Standard Chartered Bank, State Bank of India, Axis Bank Limited, Bayerische Landesbank, Citibank, Banco Santander, Bank of China, BNP Paribas, Industrial and Commercial Bank of China, China Construction Bank (Asia) Corporation Limited, J.P. Morgan Securities, Societe Generale, ING Bank NV and Mizuho Bank. Mandated Lead Arrangers were Erste Group Bank, HSBC Bank, and the Bank of Tokyo-Mitsubishi UFJ. Lead Arrangers were Credit Suisse, Raiffeisen Bank International, the Bank of New York Mellon, UniCredit Bank AG, the Royal Bank of Scotland, Wells Fargo Bank, and AfrAsia Bank.

Additional details

1. The individual contributions of the syndicate members are unknown. For the time being, AidData has estimated the contributions of the three Chinese state-owned banks by assuming that the twenty-seven lenders contributed equal amounts (US$16,666,666.7) to the loan syndicate. 2. AidData has estimated the all-in interest rate (2.850%) by adding 0.95% to average 3M LIBOR in December 2019 (1.900%).

Number of official sources

1

Number of total sources

4