HCFB Raises EUR 176,500,000 Via Syndicated Loan Facility
OREANDA-NEWS. On August 15, 2008 Home Credit & Finance Bank LLC ("HCFB") [Moody's Ba3/NP/D-, S&P B+/В], one of the leading banks specializing in consumer banking in Russia, has successfully closed an EUR 176,500,000 syndicated loan facility, reported the press-centre of HCFB.
The Syndicated Term Loan Facility was arranged by Calyon, Erste Group Bank AG ("Erste Group") and ING Wholesale Banking ("ING") (jointly the "Initial Mandated Lead Arrangers" and "Bookrunners"). Other participating banks included JPMorgan Chase Bank, N.A. as the Senior Mandated Lead Arranger, Barclays Capital, BNP Paribas and Komercni banka, a.s. Prague as the Mandated Lead Arrangers and Raiffeisenlandesbank Karnten - Rechenzentrum und Revisionsverband registrierte Genossenschaft mit beschrankter Haftung as the Lead Manager.
The Facility, which has a 364 day maturity, will be used for general corporate purposes including funding of HCFB’s consumer loan portfolio and pays a margin of 3.25% per annum over Euribor.
The transaction was launched 10 July 2008 at EUR 125,000,000. During the syndication the deal became oversubscribed, and HCFB elected to increase the facility amount from an initial EUR 125 million to EUR 176.5 million. On the transaction, Dmitri Mosolov, Deputy Chairman of HCFB Management Board said:
"After successfully completing Eurobond issuance programme by USD 500 mil in June and USD 450 mil in August for the next year or so, we are pleased to see that we enjoy strong support for our second half growth from our banks too. Particularly in the time when the country limits for Russia might be reached with so many other loans coming out at the moment. As usual, the deal has been priced at a level enabling both HCFB and the banks to benefit."
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