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Overview

Bank of China contributes $200 million AUD to a $725 million AUD syndicated loan to ElectraNet for the ElectraNet 2020 Refinancing Project

Commitments (Constant USD, 2023)$142,308,113
Commitment Year2020Country of ActivityAustraliaDirect Recipient Country of IncorporationAustraliaSectorEnergyFlow TypeLoan

Status

Project lifecycle

Pipeline: Commitment

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date
May 26, 2020
Last repayment (originally scheduled)
May 26, 2023

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 ownershipAt least 25% Chinese ownership

Funding agencies

State-owned Commercial Banks

  • Bank of China (BOC)

Cofinancing agencies

Private Sector

  • Australia and New Zealand Banking Group (ANZ)
  • Commonwealth Bank of Australia (CBA) (CommBank)
  • HSBC Bank PLC
  • Mizuho Bank, Ltd.
  • MUFG Bank, Ltd. (Formerly Bank of Tokyo-Mitsubishi UFJ, Ltd. (BTMU))
  • National Australia Bank Limited (NAB)
  • Sumitomo Mitsui Banking Corporation (SMBC)

Receiving agencies

Joint Venture/Special Purpose Vehicles

  • ElectraNet Pty Ltd

Loan description

Bank of China contributions to $725 million AUD syndicated loan to ElectraNet for the ElectraNet 2020 Refinancing Project

Interest typeVariable Interest RateMaturity3 years

Narrative

Full Description

Project narrative

On May 26, 2020, financial close was reached on a deal in which a syndicate of eight banks — including the Bank of China (BOC) — provided a $725 million AUD ($476.93 million USD) syndicated loan to ElectraNet Pty Ltd — a South Australian electricity transmission company then jointly owned by State Grid International Development Asia and Australia Holding Company Limited, subsidiary of Chinese state-owned State Grid International Development Ltd (SGID) (46.56% equity stake), Malaysia-based YTL Power Investments Limited, an investment company of YTL Power International Berhad (33.5% equity stake), and Australian Utilities Pty Ltd, the trustee for the Australian Utilities Trust (19.94% equity stake) — for the ElectraNet 2020 Refinancing Project. This loan carried a maturity period of three years and an interest rate based on a floating rate plus 135 basis points (bps). The proceeds were intended refinance ElectraNet's revolving and term loan facilities. BOC committed $200,000,000 AUD ($131.57 million USD) to the syndicated loan. In addition to BOC, the following banks committed the following amounts to this syndicated revolving facility: National Australia Bank Limited (NAB) ($100,000,000 AUD; $65.78 million USD), Australia and New Zealand Banking Group Limited (ANZ) ($125,000,000 AUD; $82.23 million USD), Sumitomo Mitsui Banking Corporation (SMBC) ($75,000,000 AUD; $49.34 million USD), MUFG Bank, Ltd. ($50,000,000 AUD; $32.89 million USD), HSBC Bank PLC ($65,000,000 AUD; $42.76 million USD), Commonwealth Bank of Australia (CBA) ($50,000,000 AUD; $32.89 million USD), and Mizuho Bank ($60,000,000 AUD; $39.47 million USD. All lenders served as mandated lead arrangers.