Cheung Kong increases loan
CHEUNG Kong (Holdings) has increased a five-year loan facility to $3.9 billion from $3.6 billion because of overwhelming response.
Arrangers ABN Amro Bank, BA Asia and CEF Capital said 15 banks joined the syndicate.
The strong response encouraged Cheung Kong to raise the facility amount.
Other arrangers include Banque Nationale de Paris, Bayerische Landesbank Girozentrale and Chase Manhattan Asia.
Japanese banks include Dai-Ichi Kangyo Bank, Fuji Bank, Sumitimo Bank, Mitsubishi Bank, Sakura Bank and Sanwa Bank.
Hang Seng Bank and European financial institutions also were involved.
Interest on the loan is 65 basis points above the Hong Kong interbank offered rate. The loan will be used to refinance a maturing bank loan arranged for Cheung Kong Finance in May 1994.
The original facility was to finance the Hok Yuen residential project in Hunghom and was arranged by CEF Capital and Chase Manhattan Asia.