Three people with knowledge of the deal told Bloomberg that Indonesia-based CT Corp has engaged the services of 13 banks to arrange a syndicated loan amounting to $1.275 billion. According to information found on its website, CT Corp is a diversified holding company which focuses on financial services, media, lifestyle & entertainment and natural resources. Its companies which include Bank Mega, Bank Mega Syariah, Mega Life, Trans TV, Trans y and Mahagaya are strongly-positioned in the consumer market. Chairman and principal shareholder Chairul Tanjung founded the company under the name Para Group in 1987.
The people who spoke on the condition of anonymity because of confidentiality said the lenders will look for other banks to join the financing beginning next week. CT will utilize the proceeds to help refinance a loan worth $750 million which it signed last year to back the 60% purchase of Carrefour in Indonesia that it did not already own, the report said citing other people it interviewed on November 25.
Those sources said the new loan facility will be made up of a $275 million three-year tranche and another two $500 million five-year tranches. They added that the interest margin will be at least 100 basis points lower than the $750 million loan. That existing loan pays 500 basis points over the London interbank offered rate.
The report said the banks hired by CT Group were Australia & New Zealand Banking Group Ltd, Bank of Tokyo-Mitsubishi UFJ Ltd, Bank of America Corp, BNP Paribas SA, Credit Suisse Group AG, DBS Group Holdings Ltd, Deutsche Bank AG, Goldman Sachs Group Inc, ING Groep NV, Malayan Banking Bhd, Royal Bank of Scotland Plc, Sumitomo Mitsui Banking Corp and Standard Chartered Plc. They added that roadshows will begin on the week of January 20 in Singapore and Taipei.
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