Bank of China contributes $230 million to $3.935 billion revolving credit facility to Vodafone Group for refinancing and working capital purposes (Linked to Record ID#92092)

Project narrative

On February 27, 2015, the Bank of China (BOC), through its London branch, contributed $230 million to a $3.935 billion revolving credit facility to Vodafone Group for refinancing and working capital, especially acquisition, purposes. A portion of the facility refinanced a previous revolving credit facility to which Bank of China had also contributed (#92092). In addition to the revolving credit facility, the new loan allowed for withdrawals of up to $1.65 billion in short-term swingline advances. The facility had a maturity of five (5) years with two one-year extension options, both of which were exercised. The funds were drawable in USD, Euro, or Pound Sterling. The interest rate was determined as the sum of a margin based on Vodafone Group's credit ratings plus contemporary LIBOR or EURIBOR, depending on the currency of the drawn funds. No funds were drawn throughout the life of the facility, which was replaced at some point in 2021 with another, similar facility, maturing in 2026. However, it is currently unknown whether BOC was involved in the 2021 facility. The facility had multiple financial covenants. Vodafone owed a commitment fee of 0.35% of the applicable margin on all undrawn credits, an annual utilization fee of 0.275% on all drawn credits over half the total committed amount, and unknown front end fees. Vodafone could draw down a total of 10 revolving credit facility advances at any given time. All drawdowns on the swingline facilities were due within five (5) days and were drawable exclusively in USD. The facility could be increased up to a maximum of $7.5 billion with the addition of new lenders, but there is no evidence that this was done during the life of the loan. No funds were ever drawn down on the facility. However, the facility's size was increased to $4.1 billion in 2016 for unknown reasons. In 2019, the facility was sized at $4.09 billion, and reduced to $3.935 billion by 2020. Twenty-nine (29) institutions contributed to the facility. Seven (7) institutions, all acting as co-arrangers, contributed $75 million to the revolving credit facility and none to the swingline facility. These were: Australia and New Zealand Banking Group (ANZ), Banco de Sabadell, National Australia Bank (NAB), Societe Generale, Standard Chartered, TD Bank, and the Bank of New York Mellon (BNY Mellon). Twenty-two (22) institutions, all acting as mandated lead arrangers (MLAs), contributed $155 million to the revolving credit facility and committed $75 million in potential swingline funding. These were: Santander, Banco Bilbao Vizcaya Argentaria (BBVA), Bank of America, Bank of China (BOC), Barclays, BNP Paribas, Citibank, Commerzbank, Deutsche Bank (Luxembourg), Goldman Sachs, HSBC, ING Bank, Intesa Sanpaolo, JPMorgan, Lloyds Bank (novated to TD Bank in 2019), Mizuho Bank, Morgan Stanley Senior Funding, Sumitomo Mitsui Banking Corporation (SMBC), MUFG Bank, the Royal Bank of Scotland (RBS), UBS Bank, and Unicredit.