Huawei Technology secures $1.5 bn equivalent 5-year term loan

Huawei Technology Investment, a wholly-owned subsidiary of Huawei Technologies has announced the successful signing of $1.5 billion equivalent 5-year term loan and revolving credit facilities.

Huawei is a leading global ICT solutions provider and the facilities are guaranteed by Huawei International, another wholly-owned subsidiary of Huawei.

The dual-currency facilities comprise a $750 million equivalent term loan, and a $750 million equivalent revolving credit facility, which are available in both US and EUR with the EUR tranche capped at EUR 300 million. Proceeds of the facilities will be used to finance the general corporate purposes of the company and/or to refinance the existing indebtedness of the company and Huawei International.

The facilities marks the first time that the company has raised a dual currency syndicated facility in line with its significantly growing global presence and, in particular, its strategic expansion plan in Europe.

“Huawei continuously strives to create diverse financing channels to maintain our financial flexibility, and this Facility will boost our efforts to accelerate business development and build on our global presence so that we can continue to create value for our customers around the world,” said Cathy Meng, CFO, Huawei.

This is the largest amount of overseas loan and credit facilities Huawei has raised to date added Meng.

The Facilities were fully underwritten and arranged by the Mandated Lead Arrangers and Bookrunners, including Australia and New Zealand Banking Group, Citigroup Global Markets Asia, Citibank, N.A., Hong Kong Branch and/or any affiliate, DBS Bank, The Hongkong and Shanghai Banking Corporation, Standard Chartered Bank (Hong Kong) and Sumitomo Mitsui Banking.

The Bank of Tokyo-Mitsubishi UFJ, Hong Kong Branch, The Royal Bank of Scotland, Hong Kong Branch, BBVA S.A., Malayan Banking Berhad, Mizuho Bank, National Australia Bank, ING Bank NV and Oversea-Chinese Banking Corporation joined the transaction as mandated lead arrangers. Mega International Commercial Bank, Offshore Banking Branch and DNB Bank ASA joined as Lead Arrangers, and CTBC Bank, Fubon Financial Holding, United Overseas Bank and Westpac Banking joined as Arrangers.

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