The interest margins on tranches A
and B are 55bp and 60bp over Taibor,
respectively, with a pre-tax interest rate
floor set at 1.7%. Tranche C offers an annual
guarantee fee of 60bp.
Banks are invited to join as MLABs with
commitments of NT$1.5bn or more for an
upfront fee of 25bp, or as participants with
commitments below NT$1.5bn for a 6bp fee.
The response deadline is September 28.
Funds are for refinancing.
King Yuan’s last loan was in January
2016, when it raised NT$5bn through a
five-year facility. Land Bank of Taiwan was
the original MLAB on that loan, while 11
banks came in with the same title. That
deal was split into a NT$2.5bn tranche A for
refinancing, which paid an interest margin
of 60bp over three-month Taibor, and a
NT$2.5bn tranche B for working capital,
which paid 65bp.
Established in 1987, Taiwan-listed King
Yuan Electronics provides testing services
of back-end integrated circuit packaging for
the semiconductor industry worldwide.
› DING SHUAI LAUNCHES MAIDEN FACILITY
Property developer DING SHUAI DEVELOPMENT is
making its debut in the loan market with a
NT$7.73bn five-year facility.
Land Bank of Taiwan is the mandated
lead arranger and bookrunner of the
transaction, which offers an interest
margin of 119bp over the one-year post
office savings rate.
Banks are being invited to join as
bookrunners with commitments of
NT$1.5bn or more for an upfront fee of
18bp, as co-arrangers with NT$1bn–$1.4bn
for a 12bp fee, or as participants with
NT$500m–$999m for a 10bp fee. The
deadline for responses is August 31.
Funds are to back the purchase of land
in Taipei’s Sanchong district and for
refinancing purposes.
The borrower’s land serves as security,
and the company’s chairman is providing a
guarantee.› TCC UNIT LOANS TOTAL NT$7.5BNTwo units of conglomerate Taiwan Cement
have launched loans totalling NT$7.5bn.
TAIWAN PROSPERITY CHEMICAL is the borrower
of a NT$4bn five-year refinancing, while
TA-HO MARITIME is the borrower of a NT$3.5bn
seven-year facility for capital expenditure
and working capital purposes, marking its
debut in the loan market.
CTBC Bank is the mandated lead arranger
and bookrunner of both deals.
The NT$4bn loan comprises a NT$2.5bn
term loan tranche A and a NT$1.5bn
revolving credit tranche B. The interest
margin is 58.5bp over Taibor, with a pre-tax
interest rate floor set at 1.7%. Lenders are
being offered a 10bp upfront fee and the
MLA title for commitments of NT$800m or
more, a 8bp fee and the co-arranger title
for NT$500m–$799m, or a 5bp fee and the
manager title for NT$300m–$499m.
The NT$3.5bn loan comprises a NT$1.7bn
term loan tranche A and a NT$1.8bn
revolving credit tranche B. The margin is
58.5bp over Taibor, with a pre-tax interest
rate floor set at 1.7%. Lenders are being
offered a 8bp upfront fee and the MLA
title for commitments of NT$700m or
more, a 6bp fee and the co-arranger titlefor NT$500m–$699m, or a 4bp fee and the
manager title for NT$300m–$499m.
The response deadline for both loans is
September 12.
In December 2013, Taiwan Prosperity
Chemical raised a NT$2.6bn five-year
financing. Bank of Taiwan, CTBC Bank,
Mega International Commercial Bank,
Taiwan Cooperative Bank and Taipei Fubon
Commercial Bank were the MLABs on that
deal, which comprised a NT$1.9bn term
loan and a NT$700m revolver. Tranche A
offered a margin of 60bp over the 90-day
secondary CP rate, while tranche B offered
65bp over the same base rate. There was a
pre-tax interest-rate floor of 1.5% on both
tranches.› FUBON SECURITIES GETS NT$5BN LOANFUBON SECURITIES , a unit of Fubon Financial
Holding, has launched a NT$5bn three-year
loan.
First Commercial Bank is the mandated
lead arranger and bookrunner of the
transaction, which is split into a NT$5bn
tranche A and a NT$2.5bn guarantee
tranche B. The two portions cannot exceed
a combined amount of NT$5bn.
Tranche A offers an interest margin of
58bp over Taibor, with a pre-tax interest
rate floor set at 1.7%, while tranche B offers
an annual guarantee fee of 50bp.
Banks are being invited to join as MLABs
with commitments of NT$800m or more
for an upfront fee of 7bp, as co-arrangers
with NT$500m–$799m for a 6bp fee, or
as participants with NT$300m–$499m
for a 5bp fee. The response deadline is
September 4.BOC Aviation returns with US$500m loan
Loans Aircraft leasing company back after two yearsAircraft operating leasing company BOC
AVIATION has launched a US$500m five-year
facility into general syndication, returning to
the syndicated loan market after an almost
two-year absence.
Agricultural Bank of China Singapore , BNP
Paribas , Citigroup , DBS Bank , Development
Bank of Japan , HSBC , MUFG , OCBC , United
Overseas Bank and Westpac Banking Corp
are the original mandated lead arrangers
and bookrunners of the unsecured term loan,
which has an unspecified greenshoe option.
MUFG and Westpac are the global
coordinators of the facility, which pays an
interest margin of 90bp over Libor.
Lenders receive a top-level all-in pricing of
105bp and the MLA title for commitments ofUS$50m and above based on a participation
fee of 75bp, an all-in of 103bp and the lead
arranger title for US$25m–$49m tickets via a
65bp fee, or an all-in of 101bp and the arranger
title for US$10m–$24m via a 55bp fee.
The deadline for commitments is
September 10. Bank meetings will be held in
Hong Kong on August 23 and Singapore on
August 24.
BOC Aviation (Ireland) is the borrower,
while BOC Aviation is the guarantor.
Funds will be used for general corporate
purposes.
BOC Aviation, a unit of Bank of China,
last raised a US$1.5bn unsecured revolving
credit facility in October 2016, increasing
the transaction from the US$1bn target size.BNP Paribas, Citigroup, DBS, HSBC, MUFG,
OCBC, UOB and Westpac were the MLABs of
that deal, which attracted 21 other lenders.
The 2016 deal was split into two equal
tranches with three- and five-year tenors,
which offered a top-level all-in pricing of
100bp and 118bp based on margins of 80bp
and 100bp, respectively. The transaction also
had a utilisation fee of 20bp if the facility is
drawn more than 70%, 10bp for 36%–70%
and 0bp for 0%–35%.
Listed on the Hong Kong stock exchange
and headquartered in Singapore, BOC
Aviation owns and manages a fleet of 487
aircraft. Its fleet was leased to 88 airlines in
35 countries and regions as of June 30 2018.
CHIEN MI WONG