Banks had been asked to provide sub-underwriting commitments of $110 million to the $947 million main commercial facility. However, the facility was about two times oversubscribed so some scaling back will take place. Most banks joined both the conventional commercial tranche and the $400 million tranche covered by Germany’s Hermes.

The conventional portion and the $225 million Islamic tranche have a step-up pricing structure, starting at 120 basis points (bp) pre-completion, falling to 115 bp from completion to year seven, and then rising according to a grid to 170 bp. The tenor is 20 years. The 17.5-year Hermes tranche is priced at a flat 40 bp. The fourth component of the package is a $402 million direct loan from Export-Import Bank of Korea (Kexim – MEED 9:12:05).

The banks committing to both the conventional and Hermes tranches are: Arab Banking Corporation, Banque Saudi Fransi, Bayerische Landesbank, KBC Bank, Natexis Banques Populaires, HSHNordbank, Nord LB, Samba Financial Group, Saudi British Bankwith HSBC, Societe Generale, Standard Chartered Bank, Sumitomo-Mitsui Banking Corporationand WestLB.

Banks only joining the commercial tranche are: Mashreqbank, Mizuho Financial Group, National Bank of Bahrain, RHB Bankand Woori Bank. The National Commercial Bankhas joined the Islamic tranche, which is being underwritten by Al-Rajhi Banking & Investment Corporation, and Riyad Bankis also likely to join. Arab National Bankand Arab Petroleum Investments Corporation (Apicorp)are expected to join the conventional tranche.

The mandated lead arrangers (MLAs) are Al-Rajhi, Arab Bank, ABN Amro, Kexim, Riyad Bank and Saudi Hollandi Bank. Riyad Bank is acting as overall co-ordinating bank on the transaction. The bookrunners are: Arab Bank and ABN Amro for regional and international banks on the conventional and Hermes tranches; Riyad Bank on the conventional tranche for local banks; and Al-Rajhi and Riyad Bank for the Islamic tranche.

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