Six banks give Rs42 billion loan to MCB to cover expenses

The Mauritius Commercial Bank (MCB) has sought and received $1billion, through a syndicated term loan facility, from six banks, namely, the Abu Dhabi Commercial Bank PJSC, the Citi Bank, the Intesa Sanpaola SpA (Intesa), the Mizuho Bank Ltd, the Standard Chartered Bank and the SMBC Bank International plc.

The bank explained that the loan 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 was launched at an amount of $600 million but it was subsequently upsized to $ 1 billion.

The MCB said the loan was reportedly circled by thirty-one banks, comprised of existing core lenders and a number of new lenders from across the globe.

MCB boss Alain Law Min said the transaction reflects the bank’s strong appeal to international investors, as well as its robust credit story.

The transaction is said to be the largest financing to a corporate borrower in Africa year to date.