Russia's Promsvyazbank has closed a US$175mn 12-month syndicated loan via mandated lead arrangers BayernLB, Calyon, HSBC, Overseas-Chinese Banking Corporation, and Bayerische Hypo-und Vereinsbank.

The interest rate is 100 basis points over Libor, and the funds will be used to fund the foreign trade operations of the bank's clients.

The borrower originally approached the market with a US$150mn facility, but the deal was oversubscribed.