HSH Nordbank and RZB as mandated lead arrangers have completed the syndication of a loan facility for Latvia’s JSC Aizkraukles Banka. The facility was well received in the market achieving a substantial oversubscription and subsequently increased from €25mn to €50mn.

The tenor is 364 days, extendable for another 364 days at each lender’s sole discretion.

The margin is 0.95% per year.

Repayment is bullet, in one single amount.

Participation levels are: €5mn, €4mn, €3mn, €2mn and €1mn respectively for arranger, co-arranger, senior lead manager, lead manager, manager.

HSH and RZB committed €7mn each. Arrangers are Hypo Alpe-Adria Bank International and LRP Landesbank Rheinland-Pfalz with €5mn each. Senior lead managers are AKA Ausfuhrkredit-Gesellschaft, Bankgesellschaft Berlin and State Bank of India with €3mn.

Lead managers are Banif Banco Internacional do Funchal, Landsbanki Luxembourg, Latvijas Hipoteku un Zemes Banka, Oberbank and Trasta Kommercbanka with €2mn.

Managers are American Express Bank GmbH, Bank Sepah International, Bre Bank, Caixa Geral de Depsitos, Landesbank Saar, National Bank of Egypt (UK) and WGZ-Bank AG Westdeutsche Genossenschafts-Zentralbank with €1mn each.

Aizkraukles Banka was established in 1993 in small town of Aizkraukle in Latvia. In 1995 the management was changed and Aizkraukles Banka started to develop.

Aizkraukles banka is one of the largest amongst the locally-owned banks in Latvia. With stable and high profitability ratios, the bank is the seventh largest by assets among 23 financial institutions in Latvia.