| For Immediate Release | March 22, 2006 |
Sun Hung Kai Properties (SHKP) announced today (March 22) that it has signed a HK$12 billion, five-year syndicated facility with a consortium of 21 local and international banks. Heavy over subscription at both the underwriting and general syndication stages led the developer to increase the loan from HK$5 billion to HK$12 billion. The enthusiastic response demonstrates the confidence banks have in SHKP's prospects.
The facility was arranged through Sun Hung Kai Properties (Financial Services) and is split 40:60 into term-loan and revolving-credit tranches. It has a maturity of five years at 24 basis points over HIBOR. SHKP will use the proceeds as general working capital and to refinance some of its existing short-term debts.
SHKP Vice Chairman and Managing Director Raymond Kwok said at the loan-signing ceremony: "The facility was welcomed by a wide spectrum of lenders and over subscribed 1.4 times. This response is a strong vote of confidence in our Group and the future of Hong Kong."
Mr Kwok said that SHKP has solid cash flows from property sales and rental income. The developer expects residential property sales to generate HK$16 billion in revenue this year, while its recurrent income of over HK$6 billion annually comes mainly from a balanced investment property portfolio.
SHKP's strong finances consistently earn it the highest credit ratings among Hong Kong developers - A from Standard & Poor's and A1 from Moody's, the latter on a par with Hong Kong's sovereign rating for foreign debt.
The facility was backed by the following local and international financial institutions:
Coordinating Arrangers & Underwriters
Bank of China (Hong Kong) Limited (Book Agent)
Fortis Bank S.A./N. V., Hong Kong Branch (Signing & Publicity Agent)
HSBC (Book Agent)
Mizuho Corporate Bank, Ltd. (Facility Agent)
Standard Chartered Bank (Hong Kong) Limited (Book Agent)
Sumitomo Mitsui Banking Corporation (Documentation Agent)
Industrial and Commercial Bank of China (Asia) Limited
The Bank of Tokyo-Mitsubishi UFJ, Ltd.
Bank of East Asia
Calyon
DBS Bank Ltd.
BayernLB Hong Kong
Agricultural Bank of China, Hong Kong Branch
Bank of Communications Co., Ltd. Hong Kong Branch
CCB International Finance Limited
Citigroup
Wing Lung Bank, Limited
Co-Arrangers
Rabobank International, Hong Kong Branch
The Sumitomo Trust & Banking Co., Ltd., Singapore Branch
Banca Intesa S.p.A., Hong Kong Branch
Nanyang Commercial Bank, Limited
| © Copyright 1996-2012 irasia.com Ltd. All rights reserved. |
|
DISCLAIMER: irasia.com Ltd makes no guarantee as to the accuracy or completeness of any
information provided on this website. Under no circumstances shall irasia.com Ltd be liable
for damages resulting from the use of the information provided on this website.
TRADEMARK & COPYRIGHT: All intellectual property rights subsisting in the contents of this website belong to irasia.com Ltd or have been lawfully licensed to irasia.com Ltd for use on this website. All rights under applicable laws are hereby reserved. Reproduction of this website in whole or in part without the express written permission of irasia.com Ltd is strictly prohibited. TERMS OF USE: Please read the Terms of Use governing the use of our website. |