Narrative
Full Description
Project narrative
On March 27, 2019, Petrobras Global Trading B.V. (PGT BV) — a state-owned Braziilian oil company — signed a $3.25 billion syndicated revolving credit facility with 18 banks. The facility carried a 5-year maturity and an interest rate of 6-month LIBOR plus 110 to 150 basis points. The loan’s final maturity date is February 27, 2024. The borrower was expected to use the proceeds from the facility to settle existing debts on an expedited schedule. The participants in the lending syndicate included Citibank, Credit Agricole, JPMorgan Chase, Mizuho, The Bank of Nova Scotia, Bank of China, Intesa Sanpaolo, Commerzbank, Banco Bilbao Vizcaya Argentaria (BBVA), BNP Paribas, Natixis, Banco Santander, Standard Chartered Bank, and Bank of America. Citibank, Credit Agricole, JPMorgan Chase, Mizuho and The Bank of Nova Scotia served as Joint Bookrunners. Bank of China and Intesa Sanpaolo served as Senior Mandated Lead Arrangers. ABN AMRO, Credit Suisse, Goldman Sachs, and HSBC served as Mandated Lead Arrangers. Petrobras’ filings within the SEC provide some evidence of drawdowns and repayments under the RCF agreement. On June 30, 2023, according to Petrobras' financial statements, the creditors rescheduled the loan by providing a 2 year maturity extension and reduced the credit amount to $2.05 billion USD.
Staff comments
1. Bank of China’s contribution to the syndicated loan is unknown. For the time being, AidData assumes equal contributions ($180,555,555) across the 18 members of the syndicate. 2. The China-Latin America Commercial Loans Tracker, which is produced by the Inter-American Dialogue, does not capture this loan. 3. Under the terms of the revolving credit facility agreement, the borrower is charged an interest rate of 6-month LIBOR plus 110 to 150 basis points (depending on its credit rating at the time of withdrawal). AidData has estimated all-in interest rate by adding 1.3% to the 6-month LIBOR rate in March 2019 (2.675%). 4. There is evidence of drawdowns and repayments under the RCF agreement (see http://pdf.secdatabase.com/1006/0001292814-21-000614.pdf). However, the exact timing and size of these drawdowns are unknown.