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Emerging Market Loans

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  • Mercuria Energy Trading signed a $755m revolving credit facility this week, finding demand from numerous banks for a deal that defied the weak appetite for lending as the end of the year approaches.
  • Standard Chartered is offering more than $1bn of Indian loans in the secondary market, according to an axe sheet seen by EuroWeek Asia this week. The bank joins a host of other lenders that are reducing their exposure to outstanding Asian deals.
  • Covenants on Russian deals have “quite a lot” of headroom for companies to underperform, said a loans banker on Wednesday, after it emerged that steel firm Rusal was in talks with its banks about covenants on its $4.75bn pre-export financing. The talks were confirmed by a banker on the facility, which was completed in October.
  • Qatari gas project Barzan has seen such a strong reception in general syndication that some banks have had the chance to scale back commitments by 40%, said a banker close to the deal.
  • Indian manufacturer Bharat Forge is still in the market with a $120m loan, but is now giving lenders until the middle of December to commit to the deal.
  • Israel Chemicals has negotiated a five year revolving credit facility worth $650m from a group of seven international banks.