Proceeds from the Facility will be used to refinance amounts outstanding under the Borrower’s existing USD800mn term loan signed in March 2019 and for general corporate purposes, including trade finance.
The Facility launched at an amount of USD 600,000,000 (subject to increase). MCB subsequently elected to upsize the transaction to USD 1,000,000,000, in light of the significant commitments received.
The Facility comprises two tranches – Tranche A with a tenor of 2 years (bullet repayment) and Tranche B with a tenor of 3 years (bullet repayment).
The deal was very well received in the loan market, with commitments in excess of USD 1.6bn and the book being covered 2.78x. This significant over-subscription led to scale-back of total commitments, even after upsizing the facility to USD 1,000,000,000. The Facility was circled by thirty-one banks, comprised of existing core lenders and a number of new lenders from across the globe, reflecting MCB’s strong appeal to international investors, as well as the Borrower’s robust credit story.
Alain Law Min, Chief Executive Officer (CEO), MCB Ltd: “The success of the deal demonstrates the support of the international loan markets to MCB, despite challenging times both on the local and international fronts. This has been possible thanks to the depth and breadth of the Financial Institutions network developed by MCB and bears testimony to the strength of our investment grade credit-worthiness. This line of credit will sustain our strategic endeavours to pursue the expansion of our international business in the region and across Africa”.
The Facility is the largest financing to a corporate borrower in Africa year to date.
Distributed by APO Group on behalf of The Mauritius Commercial Bank Ltd (MCB).
MCB Media Contact: The Mauritius Commercial Bank Ltd Gilles Martial Email: gilles.martial@mcb.mu Tel: +2302026357
Anbar Jowaheer Email: anbar.jowaheer@mcb.mu Tel: +2302026155
Coordinators’ Contact : Abu Dhabi Commercial Bank Jabirul Choudhury Email: Jabirul.C@adcb.com Tel: +971 2 696 2381
Citi Adrian Bain Email: adrian.bain@citi.com Tel: +44 20 7986 4945
Intesa Sanpaolo Gustaaf Eerenstein Email: gustaaf.eerenstein@intesasanpaolo.com Tel: +39 346 075 0820
Mizuho Stewart Wakeman Email: stewart.wakeman@mhcb.co.uk Tel: +44 20 7012 4326
SMBC Bank International Radhika Patel Email: radhika_patel@gb.smbcgroup.com Tel: +44 20 7786 1696
Standard Chartered Bank Charles Corbett Email: Charles.Corbett@sc.com Tel: +44 20 7885 7391
About the Borrower: Founded in 1838, MCB is the longest-standing and leading banking institution in Mauritius and an increasingly prominent regional player, which operates a universal banking business model and offers retail banking, business banking, corporate and institutional banking, as well as private banking and wealth management services.
MCB is the main subsidiary of MCB Group Limited (“MCB Group” or the “Group”). MCB Group is a blue chip company listed since 1989 on the local stock exchange. It is one of the most traded stocks in Mauritius and is the largest listed company on the Stock Exchange of Mauritius, with a market capitalisation of MUR 65.4 bn (~USD 1.6 bn) as at June 2021, representing a share of around 29%. The Group has a broad and diversified stakeholder base.
MCB’s rich history, commitment to customer service and excellence, innovative culture and high quality employees have underpinned its solid franchise and long track record of sustainable profitability and financial soundness.
Since 1838, MCB has been a catalyst in the socio-economic development of Mauritius by supporting the development of all pillars of the economy, as well as fulfilling its corporate responsibilities vis-à-vis the community by promoting social welfare.
MCB is investment-grade rated by Moody’s Investors Service and among the few financial institutions rated as such in sub-Saharan Africa. MCB’s Baa3 deposit and issuer ratings reflect the Bank’s importance to Mauritius' domestic financial system, strong capital levels, robust liquidity buffers, stable funding profile as well as solid earnings generation capacity.
Further information on the Borrower may be obtained from its website at www.MCB.mu/en/about-us
Coordinators, Bookrunners and Mandated Lead Arrangers Abu Dhabi Commercial Bank Citi Intesa Sanpaolo Mizuho Standard Chartered Bank SMBC BI
Mandated Lead Arrangers Bank of Baroda Commerzbank Doha Bank Emirates NBD First Abu Dhabi Bank HSBC ICBC KfW MUFG OPEC Fund Société Générale State Bank of India Union Bank of India
Lead Arrangers AfrAsia Credit Europe Bank Gulf Bank JPMorgan RAK Bank Sanlam Standard Bank
Arrangers Banque Misr Bank Muscat BCP Bank Caixabank Investec
Facility Agent Mizuho
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