Standard Bank has launched a US$500mn syndicated loan facility for activities including trade finance.
The loan, which will have a 36-month tenor, will be used for general corporate purposes including trade finance and be launched to a selected group of international financial institutions, who have not been named.
Citi, Industrial and Commercial Bank of China, London Branch and Standard Chartered will act as coordinators, bookrunners and mandated lead arrangers to arrange the US$500mn or more facility.
This is the latest in a string of loans raised by the South African bank, coming two years after it closed a US$1bn syndicated loan facility with 43 banks. At that time, the bank said the deal, which was signed on August 31, 2017 and has a 36-month tenor with an additional 1-year extension option, was well-received and heavily oversubscribed – leading to scaling back of total commitments.
Additionally, in 2016, the bank inked another US$1bn 36-month term loan facility. The funding was allocated for general corporate purposes, including trade finance as well as infrastructure, power and mining-related lending transactions in Sub-Saharan Africa.
The loan was initially launched on March 4, 2016 at US$600mn and was also oversubscribed, allowing for a final take-up of US$1bn.
The group of 18 lenders on the facility included banks from Europe, the Far East, the Middle East, the UK and the US.
Standard Bank declined to comment on its most recent loan launch.