| HONG KONG
HONG KONG May 9 The Sultanate of Oman is
seeking a US$3.6bn five-year bullet term loan from Chinese
banks, banking sources said.
Oman’s finance ministry is self-arranging the senior
unsecured deal, which pays an interest margin of 190bp over
Bank of China, China Development Bank, and Industrial and
Commercial Bank of China are the mandated lead arrangers with
the latter two also acting as bookrunners on the senior
Banks are being invited to participate at three ticket
Mandated lead arrangers with commitments of US$500m or above
will earn an all-in pricing of 210bp over Libor based on an
upfront fee of 100bp, while lead arrangers coming in for
US$250m−$499m receive an all-in of 206bp over Libor based on an
80bp fee. Arrangers with commitments of US$100m−$249m get an
all-in of 202bp over Libor based on a 60bp fee.
Commitments are due by June 2 and signing is scheduled for
Proceeds are for the Oman government's general budgetary
The Middle Eastern country's loan follows in the footsteps
of a US$600m facility for its sovereign wealth fund Oman
Investment Fund, which closed earlier this week. Proceeds back
the fund's acquisition of a 51% stake in Oman Telecommunications
Banca IMI (London), a unit of Intesa Sanpaolo, Citigroup,
Kuwait Finance House and National Bank of Abu Dhabi were the
MLABs of that loan, which will mature in April 2020 and pays an
interest margin of 230bp over Libor plus a top level
participation fee of 60bp for commitments of US$50m or more.
Oman is rated Baa1/BBB−/BBB (Moody’s/S&P/Fitch).
(Editing by Prakash Chakravarti and Christopher Mangham)