IFR 02.29.2020

International Financing Review February 29 2020 59

LOANS EMEA

Norinchukin Bank, Resona Bank, Shinkin Central

Bank, Shinsei Bank and Sumitomo Mitsui Trust

Bank joined in syndication.

The Tokyo Stock Exchange-listed real

estate investment trust mainly invests in

commercial properties in Tokyo.

MACAU

MGM CHINA SEEKS WAIVERS

Macau casino operator MGM CHINA HOLDINGS

has requested from lenders a temporary

waiver of the leverage covenants on a

HK$9.75bn (US$1.24bn) loan, as the spread

of the coronavirus in Asia has hurt its

business.

MGM China is looking to have the

covenants waived for a year and requires

consent from 50% of lenders (by value).

According to the facility agreement, the

borrower must maintain a maximum debt-

to-Ebitda ratio of 4.5x and a minimum

interest coverage ratio of 2.5 times.

The covenants are to be tested on a

quarterly basis, with the next test slated for

March 31.

Casinos in Macau were forced to close for

15 days last month, as the city’s government

looked to curb the spread of the deadly virus.

Macau gaming operators could take a

POTENTIALLYûBIGûHITûTOûVISITORûTRAFlCûIFûTHEû

situation remains protracted, which is a

credit negative for affected US rated issuers,

according to Moody’s.

Wynn Resorts, Las Vegas Sands Corp and

MGM Resorts International are the most

vulnerable to revenue declines based on

their exposure to the region, the report said.

MGM China had signed the unsecured

HK$9.75bn revolving credit facility with 13

banks in August last year. The borrowing,

which matures in May 2024, carried an

opening interest margin of 275bp over Hibor

based on a leverage ratio of 4.00 times or more.

MALAYSIA

SERBA DINAMIK RAISES MURABAHA

Oil and gas services company SERBA DINAMIK

HOLDINGS has signed an increased M$1.2bn

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lNANCING

AmInvestment Bank, Bank Islam Malaysia,

HSBC, MIDF Amanah Investment Bank, Standard

Chartered Bank and United Overseas Bank are

THEûLENDERSûONûTHEûlNANCINGûWHICHûISû

structured as a commodity murabaha

instrument.

Mandated lead arranger and bookrunner

HSBC structured, underwrote and pre-

funded the initial M$900m of the facility

before it was raised to M$1.2bn.

In December, the borrower priced a

US$200m 5.25-year non-call three sukuk

issue at par to yield 7%. Credit Suisse and

HSBC were the joint global coordinators of

the Islamic bond.

VIETNAM

THACO UNIT INTO SENIOR

A real estate subsidiary of Vietnamese auto

manufacturer Truong Hai Auto (Thaco) has

invited banks to join a US$130m borrowing

in senior syndication.

Maybank is the sole mandated lead

arranger and bookrunner on the 30-month

amortising loan, which pays an interest

margin of 250bp over Libor and carries a

US$30m greenshoe option.

The borrower is DAI QUANG MINH REAL ESTATE

INVESTMENT JOINT STOCK COMPANY, while parent

Thaco is the guarantor.

The deal is slated for launch into general

syndication in mid-March.

Dai Quang Minh invests in infrastructure,

urban areas and real estate in Ho Chi Minh

City, Quang Nam, Ben Tre, and Dalat.

The borrowing is the second offshore loan

from the Thaco group in three months.

In December, Thaco increased its maiden

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YEARûBORROWINGûTOû53MûFROMûANû

original US$180m target after attracting 10

lenders in general syndication.

Standard Chartered Bank was the sole

MLAB of the amortising term loan, which

pays an interest margin of 250bp over Libor.

EUROPE/MIDDLE

EAST/AFRICA

DENMARK

MAERSK SIGNS US$5bn SLL

Container shipping company AP MOLLER-

MAERSK has signed a US$5bn

sustainability-linked revolving credit

FACILITYûRElNANCINGûTHEûCOMPANYSû

US$5.1bn RCF that was due to mature in

2021.

The RCF, which will be part of the

Maersk’s liquidity reserve, is for an initial

lVEûYEARSûPLUSûTWOûONE

YEARûEXTENSIONû

options.

The margin on the facility loan will be

adjusted based on Maersk’s progress in

meeting its target of reducing CO2

emissions per cargo moved by 60% by 2030,

based on a 2008 baseline.

4HEûTARGETûISûSIGNIlCANTLYûMOREûAMBITIOUSû

than the International Maritime Organisation’s

target of 40% by 2030, Maersk said.

In 2019 the company announced its

commitment to becoming carbon neutral by

2050.

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arranged by Maersk since its transformation

FROMûAûDIVERSIlEDûCONGLOMERATEûTOûAûGLOBALû

container shipping company.

4HEûlNANCINGûSAWûSTRONGûSUPPORTûFROMû

Maersk’s global relationship banks and

closed oversubscribed from a syndicate of 26

banks.

Banco Santander, Bank of America, Barclays, BNP

Paribas, Citigroup, Commerzbank, Credit Agricole

CIB, Danske Bank, Deutsche Bank, Handelsbanken,

HSBC, MUFG, Nordea, SEB and Standard Chartered

Bank were mandated lead arrangers.

BBVA, DNB Bank, ICBC, ING Bank, JP Morgan,

Mizuho Bank, Morgan Stanley, NatWest, SMBC,

Societe Generale and Standard Bank of South

Africa joined as lead arrangers.

Credit Agricole and SEB were

sustainability coordinators while MUFG was

documentation agent and BNP Paribas was

facility agent.

GERMANY

GRAMMER AGREES €223m LOAN

Auto parts and accessories company

GRAMMER has agreed a €223m-equivalent

syndicated loan.

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YEARû

revolving credit facility with two one-year

extension options.

4HEûFACILITYûWILLûBEûUSEDûTOûRElNANCEû

Grammer’s €100m credit facility that was

due to mature in October.

There is also a US$80m four-year term

loan to cover the remaining purchase price

of US automotive components supplier

TMD.

EMEA LOANS BOOKRUNNERS – FULLY

SYNDICATED VOLUME

BOOKRUNNERS: 1/1/2020 TO DATE

Managing No of Total Share

bank or group issues US$(m) (%)

Proportional credit

Source: Refinitiv SDC code: R17

1 Deutsche Bank 9 4,513.33 13.4

2 BofA 7 3,223.88 9.6

3 Commerzbank 11 2,732.81 8.1

4 Citigroup 7 2,673.69 7.9

5 JP Morgan 6 1,685.55 5.0

6 UniCredit 11 1,632.46 4.8

7 HSBC 8 1,529.22 4.5

8 ING 5 1,305.31 3.9

9 Santander 10 1,194.96 3.5

10 SG 5 820.96 2.4

Total 47 33,698.52

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