Syndicated Loan

The syndicated loan is a financing method evolved from bilateral loan. Under the arrangement of syndicated loan, one bank or several banks (as the arrangers) organize other banks to grant loans to the same borrower under one loan agreement according to agreed terms.

Huge amount, long term; fewer restrictions on the use of proceeds (compared with government loans and export credit); easier management (compared with loans borrowed separately from different banks); less pressure on banks; diversified risk. As for the borrower, syndicated loans provide large amounts of loans with longer term and easy operation management (only need to contact with the agent bank).

Multi-currency according to requirement of the borrower.

According to the national industrial policies and economic development plan of the local government, syndicated loans are focused on energy, transportation, hi-tech industries and regional key projects.

Borrower must meet with the credit policy, the borrower are large company with good operating condition and financial situation, as well as with good prospects for their industry, the borrower has a high reputation in the industry, the management ability, financial strength and technical strength is also recognized by the major bankers; Borrower has established good and stable cooperation relations with the bank.