Overview

China Construction Bank contributes to USD 97 million syndicated loan to Pacific International Lines for the purchase of four containerships

Commitments (Constant USD, 2023)$35,043,443

Commitment Year•2012Country of Activity•SingaporeDirect Recipient Country of Incorporation•SingaporeSector•Transport And StorageFlow Type•Loan

Status

Project lifecycle

Completion

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date: Jan 1, 2012

Start (actual): Jan 1, 2012

Last repayment (originally scheduled): Jun 29, 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 ownership

Funding agencies

State-owned Commercial Banks

China Construction Bank Corporation (CCB)

Cofinancing agencies

Private Sector

Australia and New Zealand Banking Group (ANZ)
ING Bank N.V.

Receiving agencies

Private Sector

Pacific International Lines (Pte) Limited (PIL)

Insurance providers

State-owned companies

China Export & Credit Insurance Corporation (Sinosure)

Loan description

China Construction Bank contribution to USD 97 million syndicated loan facility to Pacific International Lines for the purchase of four containerships

Interest rate (t₀)•3.6585%Interest type•Variable Interest RateLoan tenor•6-month rateMaturity•11.5 years

Narrative

Full Description

Project narrative

In 2012, China Construction Bank, alongside ANZ and ING agreed to a USD 97 million syndicated loan with Pacific International Lines for the purpose of purchasing four large (11,900 TEU) containerships. According to TradeWinds News, the ships are to be delivered beginning in 2018. The four containerships functioned as bareboat charters, each guaranteed by Sinosure. The loan had an 11.5-year maturity and was backed by a Sinosure credit insurance policy, with an interest rate of LIBOR plus 285 basis points reported. According to lending firm Stephenson Harwood, the loan was later restructured in an unknown fashion and prepaid.

Staff comments

1. Although AidData is able to ascertain the total amount of the syndicated loan and its participants, it is unsure of the specific contributions of each member of the syndicate. Therefore, AidData has estimated China Construction Bank's contribution by dividing the total amount of the loan by the number of lenders.