DFCC raises $ 45 m through international loan syndication with HSBC

Tuesday, 2 April 2013 01:20 - - {{hitsCtrl.values.hits}}

DFCC Bank has successfully concluded its debut international loan syndication for US$ 45 million.

The deal, which was initially US$ 25 million, was increased given the strong interest shown by a large number of Middle Eastern and Asian banks, which is a significant achievement for a Sri Lankan bank venturing into the international arena for the first time given the challenging global environment and its uncertainties. The transaction was facilitated by HSBC, which acted as the lead arranger and book runner.

“DFCC’s success in this debut international loan syndication is a testament of our unique position in the local banking industry and demonstrates the strong level of confidence placed in the bank and on the positive growth outlook for the country by international investors,” said DFCC Bank Chief Executive Nihal Fonseka.

The facility drew strong international support and allows DFCC Bank to tap new investors and funding partners. The success of this transaction also strengthens DFCC’s credit story and its acceptance among a wide network of international investors for its future transactions.

“The success of this debut international loan syndication underlines HSBC’s approach to maintaining strong and lasting relationships with our core banks, and the ability in closing large financial deals,” said Chamira Wijetilleke, Head of Corporate Banking HSBC.

DFCC Bank ranks among the country’s leading banks with sustained profits and consistent growth. Set up in 1955, the bank has pioneered many innovations in Sri Lanka’s financial sector and has been the financier of many trail blazing Lankan entrepreneurs.

Today the DFCC Group’s total assets exceed Rs. 130 billion (US$ 1 billion).

DFCC Bank and its almost wholly-owned commercial banking subsidiary, DFCC Vardhana Bank, together function as an integrated entity in the financial services sector, offering the full range of business and personal banking services seamlessly through a unified distribution channel.