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Overview

Bank of China contributes to €225 million EUR syndicated loan to SEGRO to refinance existing facilities (Linked to Record ID#99178)

Commitments (Constant USD, 2023)$38,267,874
Commitment Year•2014Country of Activity•United KingdomDirect Recipient Country of Incorporation•United KingdomSector•Business And Other ServicesFlow Type•Loan

Status

Project lifecycle

Completion

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date
Apr 15, 2014
Last repayment (originally scheduled)
Apr 14, 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

  • Bank of China (BOC)

Cofinancing agencies

Private Sector

  • Barclays Bank PLC
  • BNP Paribas S.A.
  • BofA Securities, Inc. (Formerly Bank of America Merrill Lynch (BAML))
  • HSBC Bank PLC
  • KBC Bank N.V.
  • Lloyds Bank plc (formerly Lloyds TSB Bank PLC)
  • Santander Corporate & Investment Banking (SCIB)

Receiving agencies

Private Sector

  • SEGRO PLC

Loan description

Bank of China contributes EUR 28,125,000 toward new €225 million syndicated loan to SEGRO to replace existing facilities

Interest type•Variable Interest RateMaturity•5 years

Narrative

Full Description

Project narrative

On April 15, 2014, SEGRO agreed to new and amended bank facilities totaling €460 million SEGRO plc, Europe's leading owner-manager and developer of industrial and warehouse property, announces that it has agreed new and amended bank facilities totaling €460 million (£380 million). These comprised: i) a new €225 million (£186 million) revolving multi-currency, five year syndicated bank facility, replacing existing facilities totaling €395 million (captured via Record ID#99155); and ii) an existing revolving multi-currency syndicated bank facility which has been amended and extended to (captured via Record ID#99178): a) reduce the margin and commitment fees in the facility; b) reduce the size of the facility from €385 million to €235 million (£194 million), which is a decrease by €150 million; and, c) extend the maturity of the facility by 18 months to May 2018. The initial margin payable under both the above facilities is 125 basis points (1.25%). This is c25 basis points lower than the average bank margin payable by the Group prior to this refinancing. The other principal terms and conditions of the facilities are in line with those previously contained in the Group's unsecured bank financings. The new facility has been put in place with the following lenders: Barclays Bank PLC; Bank of China Limited, London Branch; BNP Paribas; HSBC Bank plc; Lloyds Bank plc; KBC Bank NV - London Branch; Santander Global Banking & Markets (all Mandated Lead Arrangers and Bookrunners); plus Bank of America Merrill Lynch (as Lead Arranger). The extended facility included the following lenders: Barclays Bank, HSBC Bank, Lloyds Bank and Santander Global Banking & Markets, Bank of China- London branch, Bank of America Merrill Lynch, Royal Bank of Scotland, and JPMorgan. As a result of putting these bank facilities in place, SEGRO has cancelled in full a €240 million syndicated facility which was due to mature in December 2015, a €100 million bilateral facility which was to mature in July 2014, and a €55 million bilateral facility maturing in November 2016.

Staff comments

1. AidData has estimated the all-in interest rate by adding 1.25% to average 6-month LIBOR in April 2014 (0.324%). 2. The size of the individual contribution of Bank of China to the lending syndicate is unknown. For the time being, AidData assumes equal contributions across all 8 members of the syndicate (EUR 28,125,000).