Bayerische Landesbank (BayernLB) and RZB, as mandated lead arrangers, have been mandated by Nova Kreditna banka Maribor of Slovenia (NKBM), to arrange the syndication of a five-year €40mn term loan facility which is for general financing purposes.

The facility is fully and equally underwritten by the mandated lead arrangers. The transaction will be launched into syndication at the beginning of 2004.

There is a two-year grace period and repayment will be in seven equal, semi-annual instalments.

The margin is 37.5bp per year in case of 100% risk weighting and 32.5bp in case of 20% risk weighting.

Both mandated lead arrangers are bookrunners, with BayernLB documentation and facility agent.

NKBM was established in 1955 and is the second largest bank in Slovenia with a market share of 11.4% in banking assets. The major shareholder is the Republic of Slovenia (90%). The Capital Fund Ltd and the Slovene Redemption Fund hold 5% each.

Moody’s upgraded the foreign currency deposit rating of NKBM to A2/P-1 in July 2003. Fitch rates NKBM BBB.