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Emerging Market Loans

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  • A Eu2.5bn project finance loan to fund the second phase of Nord Stream’s gas pipeline construction is likely to price far tighter than the facility signed in March which backed the first phase, according to bankers close to the deal. The company has sent requests for proposals for the new 10 year project finance loan.
  • Russian oil firm TNK-BP will use half of a recently signed $2bn unsecured five year loan to fund its $1.8bn acquisition of BP’s pipeline and production assets in Vietnam and Venezuela, according to a banker close to the facility.
  • Russia’s largest bank, Sberbank, has obtained all-in pricing of 185bp over Libor on its $2bn three year unsecured loan facility in the first round of bidding, said bankers familiar with the negotiations.
  • Novorossiysk, the Russian commercial seaport operator, plans to tap domestic banks for a $1.95bn loan to buy Primorsk port on the Baltic Sea, according to an emerging market loans banker.
  • China National Cereals, Oils and Foodstuffs Corp (Cofco) will have to rely on relationships to agree a $500m club after proposing tight pricing and unattractive terms, according to some bankers approached about the deal.
  • Shanghai Industrial is set to launch a HK$5.2bn ($670m) two tier loan on Wednesday, becoming the latest offshore-based Chinese company to tap the loan market in the last few months.