SINGAPORE – Olam Group Limited (“Olam Group”) announced today that its wholly owned subsidiary, olam food ingredients (“ofi”), a global leader in naturally good food and beverage ingredients, has secured its inaugural dual currency (USD & CNH) term loan facility aggregating US$1,075 million (the “Facility”).
Rishi Kalra, Executive Director and Group CFO of ofi said: “This is ofi’s first facility that contains a CNH tranche which further diversifies our borrowing mix and complements our strong liquidity position.”
The Facility has Olam Treasury Pte Ltd as a Borrower. The Facility is initially guaranteed by Olam Group Limited which will transfer to ofi Group Limited following the planned IPO and demerger of ofi.
Proceeds from the Facility will be applied towards refinancing of ofi’s existing loans and general corporate purposes.
The Facility comprises a two-year USD 950 million term loan tranche and a one-year CNH 875 million (~USD 125M) tranche with a lenders’ extension option of one year.
A total of 10 banks participated in the Facility across three tiers: Senior Mandated Lead Arrangers
1. Bank of China Limited
2. DBS Bank Ltd
3. Industrial and Commercial Bank of China Limited
4. The Hong Kong and Shanghai Banking Corporation (HSBC)
Mandated Lead Arrangers
5. CTBC Bank Co Ltd
6. Standard Chartered Bank (Singapore) Limited
Lead Arrangers
7. Bank of Communications Co Ltd
8. Cathay United Bank
9. China Citic Bank International Limited
10. Malayan Banking Berhad
HSBC has been appointed as the Facility Agent.
