India’s Yes Bank raises US$400mn from Japan and Taiwan
India’s Yes Bank has raised US$400mn through two syndicated loans, to be on-lent to business customers.
The bank raised US$250mn in a five-year commercial loan from 17 Taiwanese banks, while also raising US$150mn in a one-year maiden samurai lending facility in Japan, involving eight banks.
The Taiwanese loan is the second such facility Yes Bank has raised, having tapped 10 Taiwan-based lenders for US$130mn last year.
Yes Bank’s group president and global head of international and institutional banking, Arun Agrawal, explains the Taiwanese syndication structure to GTR.
Mandated lead arrangers were: Bank of Taiwan, CTBC, Land Bank of Taiwan and Mega International Commercial Bank.
Participants were: Bank of Kaohsiung, Bank of Panshin, Chang Hwa Commercial Bank, E Sun Bank, Exim Bank of ROC, Far Eastern International Bank, Hua Nan Commercial Bank, Jih Sun International Bank, KGI Bank, Shin Kong Commercial Bank, Taishin International Bank, Taiwan Business Bank and Taiwan Co-operative Bank.
Meanwhile, the syndication on the samurai loan was led by BTMU, with participation by Bank of India, Chugoku Bank, Commerzbank, Hachijuni Bank, Hyakugo Bank, Shinsei Bank and State Bank of India.
Agrawal explains that the finance will be dispensed from the Gujarat International Finance Tec (Gift) City branch of Yes Bank, out of which much of its trade lending is done. Yes Bank was one of the first Indian banks to establish operations in Gift City, with an asset book of more than US$1.4bn, as of Q3 of this year.
In a written statement, the bank’s managing director and chief executive, Rana Kapoor, praises market conditions, saying: “Yes Bank’s continued success in loan syndications with global banks and financial institutions reinforces the bank’s established competence in raising diversified liabilities from multilaterals and the bilateral and commercial loan markets, based on our robust business and financial model. Our maiden samurai transaction in Japan and strategic syndications in Taiwan demonstrate the bank’s ability to tap varied resource pools at competitive prices.”take me back