The Mauritius Commercial Bank Ltd (MCB) Syndicated Term Loan

Tuesday, 2nd April 2019, on behalf of The Mauritius Commercial Bank Ltd (the “Borrower”, or “MCB”) (www.MCB.mu), Standard Chartered Bank (“SCB”) and Sumitomo Mitsui Banking Corporation Europe Limited (“SMBCE”), together the coordinators (“Coordinators”) and active bookrunners (“Active Bookrunners”), announced he signing and successful closing of general syndication for MCB’s USD 800,000,000 Dual Tranche Syndicated Term Loan Facility (the “Facility”).

Proceeds from the Facility will be used for general corporate purposes, including trade finance.

Citi joined the Facility as Bookrunner prior to the launch of syndication. Mizuho Bank, Ltd will be acting as facility agent on the transaction. Ahead of the launch of general syndication, the Facility attracted significant commitments during a successful senior syndication phase.

The Facility launched general syndication on 30th January 2019, at a launch amount of USD 500,000,000 (subject to increase). MCB subsequently elected to upsize the transaction to USD 800,000,000, in light of the significant commitments received.

The Facility comprised two tranches, with Tranche A having a tenor of 1 year (bullet repayment) and Tranche B having an initial tenor of 2 years, with a 1 year extension option at the Borrower’s discretion (bullet repayment).

The deal was very well received in the loan market, with commitments in excess of USD 1.0 bn. This significant over-subscription necessitated the scaling back of total commitments, even after upsizing the facility to USD 800,000,000. Twenty-four geographically diverse banks participated in the Facility, reflecting MCB’s strong appeal to international investors, as well as the Borrower’s robust credit story.

Commenting on the Facility, Raoul Gufflet, Deputy Chief Executive of MCB, highlighted that: “We are very pleased of the keen market interest attracted by this syndication, and the support from a wide pool of lenders spanning Europe, the Middle East and Asia. It testifies of the international recognition of MCB’s investment-grade credit worthiness and confidence in the bank’s strong fundamentals and international growth prospects. The Facility will support MCB in further optimising and diversifying its funding profile, whilst executing on the delivery of its domestic and African ambitions