Skip to content
AidData logo

Overview

Industrial and Commercial Bank of China contributes to a $540 million syndicated term loan facility to First Rand Bank for general corporate and trade financing purposes (Linked to Record ID#96690, #96691, and #96692)

Commitments (Constant USD, 2023)$82,089,749
Commitment Year•2017Country of Activity•South AfricaDirect Recipient Country of Incorporation•South AfricaOverseas Jurisdiction•United KingdomSector•Banking And Financial ServicesFlow Type•Loan

Status

Project lifecycle

Completion

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date
Oct 31, 2017
Last repayment
Apr 30, 2020

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

  • ICBC (London) PLC

Cofinancing agencies

Private Sector

  • Standard Chartered Bank PLC

State-owned Banks

  • Bank of Taiwan
  • Taiwan Cooperative Bank

State-owned Commercial Banks

  • Bank of China (BOC)
  • China Construction Bank Corporation (CCB)

State-owned Policy Banks

  • Export-Import Bank of China (China Eximbank)

Receiving agencies

Private Sector

  • FirstRand Bank (FirstRand Limited)

Loan desecription

China Construction Bank, Bank of China, China Eximbank, and ICBC contribute to a USD 540 million dual-tranche syndicated term loan facility First Rand Bank

Grant element•9.3966%Interest rate (t₀)•1.375%Interest type•Fixed Interest RateMaturity•2.5 years

Narrative

Full Description

Project narrative

On October 31, 2017, Export-Import Bank of China's Shanghai branch contributed $77.14 million to a $540 million dual-tenor syndicated term loan facility made to First Rand Bank. The facility was split into two US dollar tranches: a two-year tranche, priced at 125 basis points (bps) a year, and a three-year tranche, priced at 150bps. The facility was launched at $250 million and heavily oversubscribed. The purpose of the loan was to finance general corporate functions and "support First Rand's funding and liquidity management objectives", including trade financing. Standard Charter acted as sole coordinator, initial mandated lead arranger and bookrunner, documentation bank and facility agent. China Construction Bank's (CCB) Johannesburg branch (captured in Record ID#96690), Bank of China's (BOC) Johannesburg branch (captured in Record ID#96691), Export-Import Bank of China's Shanghai branch, and ICBC (London) PLC (captured in Record ID#96693) all acted as mandated lead arrangers. Taiwan Cooperative Bank acted as lead arranger. Bank of Taiwan's London branch acted as arranger.

Staff comments

1. For the time being, AidData assumes equal contribution of all lenders. The value of the financing organization's loan ($77,142,857) was derived by dividing the total amount of funds loaned ($540,000,000) by the number of lenders in the syndicate (7). 2. As the specific dollar amounts of each loan tranche are not currently loan, AidData has, for the time being, recorded the maturity date as the average of the maturity dates in years of each tranche (2 + 3) / 2, or 2.5. 3. For the time being, AidData has recorded the interest rate of the overall loan (1.375%) as the average of the interest rates of both loan tranches (1.25%, 1.5%).