Malta’s Bank of Valletta has signed a €100mn term loan. This was increased by US$30mn, with allocations being scaled back. The loan will refinance a €70mn facility signed in July 1998 and is structured to include a step down in margin when lenders are permitted to assign a 20% risk asset weighting to the loan following Malta’s accession to the EU in May 2004.
The margin is Libor plus 32.5bp. Banks were invited to contribute US$10mn for 35bp, US$7.5m for 30bp, US$5m for 25bp and US$3m for 20bp. Mandated lead arrangers are BayernLB and SMBCE (Sumitomo Mitsui Banking Corporation Europe). Arrangers are Bawag, Erste Bank, ING, Norddeutsche Landesbank Luxembourg and Sanpaolo IMI.
The co-arranger is Baden-Wurttembergische.
Lead managers are Banca Nazionale del Lavoro, HSH Nordbank and Landesbank Saar.
Managers were Banca di Roma, Banco Populare di Verona e Novara , Banque et Caisse d’Epargne de l’Etat and Volksbank.