Azerbaijan, Baku, Aug.3 / Trend /
JSC National Company KazMunaygas ("KMG") has successfully completed the syndication of their $1 billion Term loan Facility which was signed on July 15, 2011, the company said in its statement.
The deal was fully underwritten and arranged by the Bank of Tokyo-Mitsubishi UFJ, Ltd., ING Bank N.V., Natixis and The Royal Bank of Scotland plc. The marketing strategy developed by KMG and underwriters attracted 9 banks in total and resulted in successful transaction viewed as a benchmark for corporate borrowers in Kazakhstan.
JSC Citibank Kazakhstan, Sumitomo Mitsui Banking Corporation and UniCredit Bank Austria AG joined the facility during the Senior phase as Mandated Lead Arrangers. General Syndication took place in June with the following banks subsequently joining the transaction: Bank of America Merrill Lynch acted as Lead Arranger, Siemens Bank GmbH, Intesa Sanpaolo S.p.A and Mega International Commercial Bank, London Branch as Arrangers, UBS and Export Import Bank of the Republic of China as Lead Manager.
The Facility is unsecured, has a term of 5 years and an interest rate of LIBOR +2.10%. The funds will be used for the general corporate purposes of KMG including repayment of existing debt. The Facility is KMG's first syndicated loan facility since 2008. It sets new pricing parameters for Kazakhstan's corporate borrowings, indicating investors' willingness to cooperate with Kazakhstan's companies, while serving as a paramount evidence of an excellent appraisal of KMG Managements' efforts in the eyes of the international financial community.