CREDIT BANK OF MOSCOW raised a USD 170mln syndicated loan
CREDIT BANK OF MOSCOW raised the syndicated loan in the total amount of USD 170mln. Initially the Bank planned to obtain a USD 150mln syndicated loan, but due to increased market demand the loan was oversubscribed and as a result its final amount reached the level of USD 170mln.
The loan is A/B structured with IFC (International Finance Corporation) acting as the transaction arranger. The bookrunners for the B Loan were Commerzbank AG, ING, RZB and VTB Bank (Deutschland). The Initial Mandated Lead Arrangers were First Bank of Nigeria (UK) and Amsterdam Trade Bank N.V.
The A Loan in the amount of USD 40mln was granted by IFC for a 5-year period. The funds under the A Loan will be used to finance Energy efficient and Agricultural projects in Russia.
The B Loan of USD 130mln was provided by 16 foreign commercial banks. The loan has a tenor of 1 year and a 325 b.p. (3.25%) margin over 6-month LIBOR.
All-in pricing of the transaction made up 520 b.p. (5.20%) over 6 month LIBOR.
This syndicated loan is the tenth in a row and by far the largest one for CREDIT BANK OF MOSCOW raised in international syndicated loan market.
"The transaction is an absolute success, - noted Vladimir Chubar, First Deputy Chairman of the Management Board of CREDIT BANK OF MOSCOW. – CBM was one of the pioneers in the international market after the crisis. The deal met a positive reaction in the market and thus was oversubscribed by 13%. This points to the fact that we have been able to build strong relationships in the international finance community. We are extremely proud that CREDIT BANK OF MOSCOW is considered as reliable partner by the world’s leading financial institutions."