Active Development AidData Chinese Aid

CDB participates in $800 million syndicated term loan with Mauritius Commercial Bank for for general corporate purposes in 2019

$33.33M USD

Funder	China Development Bank (CDB)
Recipient Organization	Mauritius Commercial Bank
Country	Mauritius
Start Date	Apr 09, 2019
End Date	Mar 21, 2032
Duration	4,730 days
Number of Grantees	1
Roles	Recipient
Data Source	AidData Chinese Aid
Grant ID	`104640`

Grant Description

CDB contributes to USD 800 million syndicated term loan with Mauritius Commercial Bank in 2019 In April 2019, The Mauritius Commercial Bank Ltd (MCB) signed a $800,000,000 dual tranche, syndicated term loan facility agreement with a group of 24 Chinese and non-Chinese banks. The proceeds from the facility were to be used by the borrower for general corporate purposes, including trade finance.

The facility consists of two tranches, with Tranche A having a tenor of 1-year (bullet repayment) and Tranche B having an initial tenor of 2-years [with a 1-year extension option at the borrower’s discretion (bullet repayment)].

Co-ordinators, Active Bookrunners and Mandated Lead Arrangers included Sumitomo Mitsui Banking Corporation Europe Limited and Standard Chartered Bank. Citi served as a Bookrunner.

Mandated Lead Arrangers included Commerzbank Aktiengesellschaft, Filiale Luxemburg, Commerzbank Aktiengesellschaft, China Development Bank Hong Kong Branch, First Abu Dhabi Bank PJSC, Mizuho Bank, Ltd., MUFG Bank, Ltd., SBI (Mauritius) Ltd, and State Bank of India, Johannesburg Branch. Lead Arrangers included Bank of Baroda, London branch, Intesa Sanpaolo Bank Luxemburg SA, and KfW IPEX-Bank.

Arrangers included Emirates NBD Bank (P.J.S.C), J.P. Morgan Securities plc, HSBC Bank (Mauritius) Limited, ING Bank N.V, and Société Générale.

Participants include Deutsche Bank AG, London Branch, Investec Bank Limited, The National Bank of Ras Al Khaimah (P.S.C), AKA Ausfurkredit-Gesellschaft MbH, Banque Misr - Dubai Branch. Banque Misr SAE - Paris Branch, Caixiabank, SA, and The Korea Development Bank, London Branch. Mizuho Bank, Ltd. served as Facility Agent.

📋 Staff Comments

The size of CDB’s financial contribution to the syndicate is unknown. For the time being, AidData assumes equal contributions ($33,333,333) across the 24 lenders that participated in the syndicate.
AidData has estimated the loan’s maturity by taking the average maturity (1.5-years) across Tranche A and Tranche B.
Ahead of the launch of general syndication on January 30, 2019, the facility attracted significant commitments during a successful senior syndication phase. The facility initially launched at $500,000,000 (subject to increase). MCB subsequently elected to upsize the transaction to $800,000,000 in light of the significant commitments received. The deal was very well received in the syndicated loan market, with commitments in excess of $1 billion. This significant over-subscription necessitated the scaling back of total commitments, even after upsizing the facility to $800,000,000.

📚 Sources & References

The Mauritius Commercial Bank Ltd (MCB) Syndicated Term Loan
The Mauritius Commercial Bank Ltd (MCB) Syndicated Term Loan
USD 800,000,000 or more Dual Tranche Syndicated Term Loan Facility
The Mauritius Commercial Bank Ltd (MCB) Syndicated Term Loan Loan applications and disbursements are still being received and processed as the projects continue to evolve. Ongoing monitoring and evaluation are in place to ensure project continuity.