UniCredit Bank Completed 500 mln USD Syndicated Loan
OREANDA-NEWS. On 24 June 2008 was announced, that UniCredit Bank successfully completed the 500 mln USD syndicated loan with 3 years and one day maturity, the annual interest rate on the loan stands at 0.9% above LIBOR. The loan is arranged by DZ Bank, Bank of Tokyo Mitsubishi UFJ, Bayerische Landesbank, Landesbank Baden-Wuerttemberg, UniCredit Group (Bank Austria).
The funds received will be used to finance the Bank’s business development, in particular regional expansion, corporate and retail loans.
"We are quite satisfied with the syndication results, final amount, term and attraction costs. For the present time deal terms are the most favorable amongst similar transactions since the beginning of 2008.
We would like to thank all the participants of this deal so important for the Bank’s business, — states Helmut Bernkopf, acting Chairman of UniCredit Bank. — We strive to diversify funding sources, thus providing UniCredit Bank with stable positions in quite an unpropitious situation on the market. The Bank has always been known for reliability thus justifying trust of our partners and clients. As the result of the loan attraction and recent nominal capital increase up to 23 bln RUR, we intend to strengthen positions on the Russian market and continue offering high quality services enabling our clients to fulfill their ambitions and potential".
The original amount of the syndicated loan, witch was announced to the markets in May, was USD 300 mln. However, the market’s strong interest in the transaction made it possible to increase the initial amount, resulting in oversubscription and the final sum of USD 500 mln.
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