A general corporate loan which includes the financing of imports has closed syndication. The debut US$20mn one-year loan for Turkey’s Garanti Finansal (Garanti Leasing) was oversubscribed but the borrower will not be taking an increase.
WestLB is mandated lead arranger. Standard Chartered Bank, Kuwait Real Estate Bank and Banque du Bosphore joined as co-arrangers, RZ B as lead manager and Kocbank Nederland and Sabanci Bank as managers.
Co-arrangers were offered fees of 130bp for takes of US$3.5mn; lead managers with US$2mn receive120bp; managers with US$1mn receive 115bp.
The margin is 100bp over Libor.
Garanti Leasing, 95% owned by Garanti Bank, was founded in 1990 and specialises in small ticket leases.
The transaction has the benefit of a letter of comfort from Turkiye Garanti Bankasi AS.
Garanti Leasing, a 94.1%-owned subsidiary of Turkiye Garanti Bankasi, was established in 1990 is rated B+ by Fitch and B by Standard & Poor’s. The company focuses on small ticket leases with a client base in excess of 3,000 customers with over 75% of its business being originated through Turkiye Garanti Bankasi’s branch network. The company also operates vendor-financing agreements in Turkey with selected multinational companies.