Narrative
Full Description
Project narrative
On November 28, 2017, financial close was reached on a deal in which a syndicate of 12 banks — including the Bank of Communications (BoComm) — provided a $2.25 billion AUD syndicated loan to Reliance Rail Finance Pty Limited — a special purpose vehicle (SPV) and the financing arm of Reliance Rail, a public-private partnership between the New South Wales Government and Downer EDI (49%), AMP Capital (34%), and International Public Partnerships, a subsidiary of Amber Infrastructure Group, (17%) contracted to manufacture and maintain 626 suburban passenger train carriages for Sydney’s rail network — for the Reliance Rail NSW Rolling Stock Public-Private Partnership 2017 Refinancing Project. The proceeds of this loan, alongside additional equity from AMP Capital and International Public Partnerships, were used to refinance Reliance Rail. Each lender, including BoComm, contributed $114.4 million USD and served as a mandated lead arranger. In addition to BoComm, the following contributed to this syndicated loan: Mitsubishi UFJ Finance Group, Mizuho Financial Group (MHFG), Westpac Banking Corporation, Commonwealth Bank of Australia (CBA), Natixis, National Australia Bank Limited (NAB), HSBC Bank PLC, United Overseas Bank Limited (UOB), BNP Paribas S.A., RBC Capital Markets, and KfW IPEX-Bank GmbH. Record ID#94400 captures BoComm's contribution. Then, on February 28, 2022, financial close was reached on a deal in which a syndicate of 12 banks — including the Industrial and Commercial Bank of China (ICBC) — provided a $1,966,600,000 AUD ($1,412,110,000 USD) syndicated loan to Reliance Rail Finance Pty Limited — a special purpose vehicle (SPV) and the financing arm of Reliance Rail, now jointly owned AMP Capital (66.6%) and International Public Partnerships (33.3%) — for the Reliance Rail NSW Rolling Stock Public-Private Partnership 2022 Refinancing Project. The syndicated loan was divided into two tranches: a $1,861,600,000 AUD ($1,336,720,000 USD) green sustainability-linked loan (SLL) with a maturity period of 21 years and a final maturity date of March 31, 2043 and a $105 million AUD ($75.39 million USD) debt service reserve facility with a maturity period of 21 years and a final maturity date of March 31, 2043. The proceeds of this loan were to be used by the borrower to refinance the outstanding debt of Reliance Rail's projects. All 12 lenders, including ICBC, served as mandated lead arrangers and each contributed $155.13 million AUD ($111.39 million USD) to the $1,861,600,000 AUD sustainability-linked loan tranche and $8.75 million AUD ($6.28 million USD) to the $105 million AUD debt service reserve facility tranche. Record ID#94401 captures ICBC's $155.13 million AUD contribution to the $1,861,600,000 AUD sustainability-linked loan tranche. Record ID#94402 captures ICBC's $8.75 million AUD contribution to the $105 million AUD debt service reserve facility tranche. The Reliance Rail NSW Rolling Stock PPP Project, originally signed in December 2006, sought to finance, manufacture and maintain the suburban passenger trains for 30 years. It was the largest passenger train order in Australian history, costing $3.6 billion AUD. Reliance Rail's core asset are its 78 Waratah Trains, which account for approximately a third of Sydney Trains' suburban passenger set, and the Auburn Maintenance Centre (AMBC), a facility in west Sydney that maintains over 60% of Sydney Trains' passenger fleet. The Rolling Stock PPP refinance and delivered the 78 Waratah trains, the AMC, two spare driver carriages, and four simulator cars for driver training. The first Waratah trains began passenger service in July 2011, with the 78th set entering service in May 2014 entered service in May 2014.