CapitaLand tests out new Singapore loan benchmark

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By Pan Yue
18 Jun 2020

Singapore’s CapitaLand has become the first company to raise a loan benchmarked against the Singapore overnight average rate (Sora), as the market prepares for a transition away from Libor and the country’s equivalent, the Singapore dollar swap offer rate (Sor).

OBCB Bank provided the S$150m ($107.6m) three year facility based on Sora to the property developer. The deal is part of CapitaLand’s S$300m sustainability-linked loan.

Sora is an alternative interest rate benchmark in Singapore, which will eventually replace Sor. The current benchmark, which uses Libor in its computation, ...

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