Deutsche Bank has launched the 12-month extension of the US$100mn syndicated trade related loan facility for JSC Kazkommertsbank, signed on
This original transaction was also led by Deutsche Bank AG London. HVB Group, ING Group, and Raiffaisen Zentralbank Ősterreich AG joined at arranger level.
Invitations have been sent out both to the 24 existing lenders as well as to a select number of potential new lenders. Banks will be offered five levels of participation: arranger at US$10mn, co-arranger at US$7.5mn; lead manager: US$5mn, manager: US$3mn and US$1mn participant.
The loan has a tenor of 12 months and carries a lower margin of 2.25% pa. This reduction largely reflects the improvement in the financial position of both Kazkommertsbank (which was recently upgraded to Ba1 by Moody’s Inverstors Service) and Kazakhstan (which was recently awarded investment grade status by Moody’). However, while the exact participation/extension fee levels have not been disclosed, they are above the original extension fee of 20bp flat that was set out in the term sheet 12 months ago.
The purpose of the facility is to finance specific export and import contracts of major customers of Kazkommertsbank.
Kazkommertsbank is the largest bank in Kazakhstan with total assets as of