Syndication agreements for the Croatian Bank for Reconstruction and Development (HBOR) have been signed. An international syndicate of banks were mandated to arrange a €
160mn syndicated loan.
The syndication process led to significant oversubscription. The arranging syndicate comprised Bank Austria Creditanstalt (BA-CA), BayernLB, Calyon and Mizuho Corporate Bank.
The loan has a three-year maturity and is used for funding purposes. In 2003, BA-CA received a mandate from HBOR for arranging a facility in the international loan market. HBOR, the Export Credit Agency (ECA) of the Republic of Croatia, is wholly-owned by the state and enjoys the same international rating as the Republic of Croatia (Moody’s: Baa3, Standard & Poor’s: BBB flat).
Moreover, under a state guarantee defined by law, the Republic of Croatia is liable for all loans raised by HBOR. HBOR is one of the country’s most prominent borrowers and is among the leading institutions in the entire CEE region.