BayernLB and Sanpaolo IMI as mandated lead arrangers have closed senior syndication of a three-year US$60mn syndicated term loan facility for Black Sea Trade and Development Bank (BSTDB).

Senior syndication generated a small oversubscription for what is the debut syndicated loan facility for BSTDB. In view of the borrower’s wish not to increase the facility amount, the decision was taken to cancel a planned general syndication.

BSTDB is an international financial institution established by Albania, Armenia, Azerbaijan, Bulgaria, Georgia, Greece, Moldova, Romania, Russia, Turkey, and Ukraine.

The BSTDB headquarters is in Thessaloniki, Greece. With an authorised capital of SDR1bn (US$1.5bn), the bank supports economic development and regional cooperation by providing financing, guarantees, and equity for operations in the public and private sectors in its member countries.

As at end of September 2004, project financing and corporate lending represent over 80% of the bank’s commitments, with short term trade financing accounting for 14% of the portfolio. BSTDB is rated long term Baa2 and short term P2 by Moody’s .