Syndicated Loan

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Syndicated Loan

A large Eurocurrency loan from a group of international banks.
Copyright © 2012, Campbell R. Harvey. All Rights Reserved.

Syndicated Loan

A loan made by many lenders to a single borrower. Syndicated loans are made in large amounts that would be too big for one lender to handle. In many ways, a syndicated loan operates like an ordinary loan; there is an interest rate (fixed or floating) and a time until repayment is due. It may be a direct loan or a revolving line of credit or a combination of the two. However, syndicated loans are usually made on a best effort basis, meaning that if the lenders are unable to find enough capital or additional lenders to cover the amount requested, the amount borrowed will be less than anticipated. They are common in leveraged buyouts.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved

syndicated loan

a LOAN which is provided by a number of financial institutions on a collective basis, each subscribing a specified amount of money. Syndicated loans are usually put together by a ‘lead’ organization, for example, a commercial bank.
Collins Dictionary of Business, 3rd ed. © 2002, 2005 C Pass, B Lowes, A Pendleton, L Chadwick, D O’Reilly and M Afferson
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The total corporate finance portfolio and syndicated loans at the National Bank of Egypt (NBE) amounted to EGP 399bn by the end of April 2019, according to Sherif Reyad, head of the bank's credit group for corporate and syndicated loans.
According to the chairman, negotiations are underway with various companies on issuing syndicated loans. He noted that such loans are one of the main drivers of economic growth.
This is believed to the first such platform to go live in Latin America to offer club loans, which are syndicated loans with a smaller group of lenders.
However, the proportion of unitranche deals with a full set of covenants remains higher than for syndicated loans of similar size - only 15% of such deals in 2017 had a full set of maintenance covenants.
By CHARLES MWANIKIKenya could end up spending more than 80 per cent of the proceeds of last week's Sh202 billion Eurobond on retiring syndicated loans contracted in 2015 and 2017, the prospectus used to secure the loan shows.The Treasury took a $1 billion (Sh101 billion) syndicated loan from a consortium of banks in March last year, to mature in April 2019.
However, the syndicated loan market in China has recently been growing very rapidly and witnessed a sharp annual growth of 65% to US$37 billion in syndicated loans in the first three quarters.
The bank also lead a number of syndicated loans which received awards including Best syndicated loan in EMEA: Qatar Petroleum's funding, Best syndicated loan in the Middle East: ACWA Power's funding for Qurayyah IPP and Best syndicated loan in Africa: Kosmos Energy's $2 billion funding.
Summary: Moody's Investors Service is introducing a threshold level of EUR250 million for the assignment of credit estimates to syndicated loans.
Summary: Syndicated loans in the Middle East and North Africa have plunged to the lowest level since 2004 as international lenders reduced participation because of the Arab uprisings, and falling yields encouraged companies to sell bonds.
Garanti Bank's CEO Ergun Ozen said after the signing ceremony in London that they proved their power in banking relations and their expertise in syndicated loans once again.
Syndicated loans are large commercial loans provided to corporate borrowers by a group, or syndicate, of lenders.
Karl Nolson was named by the company to head a new syndicated loans team in London.