Completed Mixed AidData Chinese Aid

China Development Bank contributes to $600 million syndicated pre-export financing facility for April International Group (AIG) Pulp and Paper Project (Linked to Record ID#100733)

$120M USD

Funder	China Development Bank (CDB)
Recipient Organization	Gold Crest Capital
Country	Indonesia
Start Date	Dec 01, 2011
End Date	Oct 04, 2031
Duration	7,247 days
Number of Grantees	1
Roles	Recipient
Data Source	AidData Chinese Aid
Grant ID	`96348`

Grant Description

CDB and CITIC Bank International contributions to USD 600 million pre-export financing facility for AIG Pulp and Paper Project In December 2011, Gold Crest Capital — a special purpose vehicle (SPV) that is legally incorporated in the British Virgin Islands and that is wholly-owned by another SPV known as April International Group (AIG) Ltd (also legally incorporated in the British Virgin Islands) — signed a $600 million syndicated pre-export financing (PxF) agreement with ABN Amro (facility agent), Santander, China Development Bank, CITIC Bank International and WestLB for the April International Group (AIG) Pulp and Paper Project.

📋 Loan / Grant Terms

📅 Maturity5 years

Record ID#96348 captures the estimated financial commitment of China Development Bank, while Record ID#100733 captures the estimated financial commitment of CITIC Bank International.

However, it is known that the loan was secured by (i.e. collateralized with) share pledges of operating companies in Indonesia, a floating charge over the assets (pulp inventories) of operating companies in Indonesia, and assignment of both domestic sales in Indonesia and exports. It is also known that the loan was backed by a corporate guarantee from Asia Pacific Resources International Ltd.

The borrower was expected to use the loan proceeds to support the pulp and paper operations of April International Group (AIG) Ltd in Indonesia.

More specifically, the borrower was expected to use the loan proceeds to support capital expenditure (capex), working capital, general corporate, and debt refinancing needs of AIG.

📋 Staff Comments

The individual contributions of China Development Bank and CITIC Bank International are unknown. For the time being, AidData assumes equal contributions ($120 million) across the five known members of the loan syndicate.
Ashurst served as a legal adviser on the transaction.

📚 Sources & References

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BankTrack – China Development Bank 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.