Manila—(PHStocks)—Philippine National Bank (PSE: PNB) successfully closed and signed a $150 million 3-year syndicated term loan facility with a large group of international and regional banks on Friday, 24 April 2015. Standard Chartered Bank acted as the sole Coordinating Bank and fully underwrote the $150 million Facility.
The Facility was launched at $150 million and attracted total commitments of $220 million at close of syndication, representing an oversubscription of around 1.5 times with lending commitments received from 10 regional and international banks.
CTBC Bank Co. Ltd Singapore, ING Bank N.V. (Manila Branch), KDB Asia Limited / The Korea Development Bank and United Overseas Bank Limited (UOB) joined Standard Chartered Bank as sub-underwriters (together, the Mandated Lead Arrangers and Bookrunners) and The Hongkong and Shanghai Banking Corporation Limited (HSBC) further joined the Facility as a Mandated Lead Arranger at close of senior syndication.
In general syndication, the Facility also drew strong interest from Middle Eastern banks like National Bank of Kuwait S.A.K.P. (Singapore Branch) and BBK B.S.C. who came in as Lead Arrangers together with Commerzbank Aktiengesellschaft, Hong Kong Branch. The Export-Import Bank of the Republic of China participated as an Arranger in the Facility.
This marks PNB’s return to the syndicated loan market after more than a decade, the last being in 1998, and received overwhelming interest from the market, both regionally and internationally. The diversity of the syndicate of lenders is an affirmation of the growing international market appetite for assets from the Philippines. The success of the transaction is a strong acknowledgment of the capital market’s confidence in the credit strength of the bank.