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Overview

ICBC contributes to $400 million USD bullet loan for Maybank in April 2016 (Linked to Record ID#98660)

Commitment Year•2016Country of Activity•MalaysiaDirect Recipient Country of Incorporation•MalaysiaSector•Banking And Financial ServicesFlow Type•Loan

Status

Project lifecycle

Pipeline: Commitment

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date
Apr 1, 2016
Last repayment
Apr 1, 2019

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

  • Industrial and Commercial Bank of China (ICBC)

Cofinancing agencies

Private Sector

  • Australia and New Zealand Banking Group (ANZ)
  • BNP Paribas S.A.
  • Maybank Kim Eng (Maybank Investment Bank, Kim Eng Securities, Maybank ATR Kim Eng)
  • Oversea-Chinese Banking Corporation, Limited (OCBC Bank)
  • Standard Chartered Bank PLC

State-owned Commercial Banks

  • Bank of China (BOC)

Receiving agencies

Private Sector

  • Malayan Banking Berhad (Maybank)

Loan desecription

Bank of China and ICBC contribute to USD 400 million bullet loan for Maybank in April 2016

Grant element•10.4735%Interest rate (t₀)•1.853%Interest type•Variable Interest RateLoan tenor•6-month rateMaturity•3 years

Narrative

Full Description

Project narrative

In April 2016, Malaysia’s Maybank launched a $400 million USD bullet loan into general syndication. Bank of China and ICBC committed as mandated lead arrangers and bookrunners ahead of general syndication. The loan carried a maturity period of five years and an interest rate of 1.853% (average 6-month LIBOR + a margin of 95 basis points). Loan proceeds were to be used for working capital, general banking, and other corporate purposes. Other mandated lead arrangers in the syndicate included Oversea-Chinese Banking Corp, Australia and New Zealand Bank, BNP Paribas, Maybank Kim Eng and Standard Chartered. All of these lenders joined prior to syndication launch. The deadline for other commitments was May 9, 2016 and allocations were slated to be assigned in the week of May 16, 2016. Confirmation of later commitments is unavailable. MLAs committing $50 million or more earn a 70bp fee for an all-in of 109.7bp, lead arrangers committing $30 million to less than $50 million earn 60bp for an all-in of 107.6bp and arrangers committing $10 million to less than $30 million earn 50bp for 105.5bp all-in. Bank of China's contribution to this loan is captured in Record ID#98660.

Staff comments

1. Each lender has not been confirmed and while the deadline for other commitments has passed, and confirmation of any other commitments is unavailable, there is still a chance that other banks joined syndication. Therefore, AidData has not coded a transaction amount due to the fact that equal contribution assumptions cannot be made without confirmation of the total number of lenders. 2. This loan carried a 1.853% interest rate (AidData calculated the interest rate as follows: 0.903% [average 6-month LIBOR in April 2016] + 0.95% [95 basis points] = 1.853%).