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Emerging Market Loans

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  • Gazprom-Neft has signed a $600m five year unsecured amortising loan with a club of six banks. SMBC is co-ordinating the transaction, which will pay a margin of 150bp and has an average life of four years.
  • Kenyan power generator KenGen has signed a Eu60m (Ksh7.4bn) loan backed by German development bank KfW Entwicklungsbank (KfW). The deal will part finance the development of a 280MW geothermal power project at Olkaria.
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    Russian bank VTB will appoint a second co-ordinator for its $1.5bn-$2bn three year unsecured loan. SMBC was initially mandated as co-ordinator but ING will also sign in at this level.
  • Kazakh sovereign proxy Kazmunaigas is set to pay a margin of 210bp on its $1bn five year refinancing loan.
  • Commodities trader Glencore has signed an $11.875bn loan after attracting 77 banks in syndication. The huge success bodes well for other commodities companies eyeing the loan market, but smaller names may have to pay up to attract attention.
  • Polish oil firm PKN Orlen has signed a Eu2.625bn five year one plus one refinancing loan. The size was increased following an oversubscription from a group of 14 banks. The initial margin is 135bp based on a leverage grid.