Daily News: November 27, 2017

Citi, Mizuho Bank Lead Sasol Upsize to $3.9B


Sasol, a South African chemicals and energy company, increased its existing revolving credit facility from $1.5 billion to $3.9 billion. It also extended the maturity to five years with the inclusion of two further extension options of one year each.

Sasol launched this transaction with a targeted facility size of $3 billion, which was subsequently increased to $3.9 billion given the notable oversubscription.

Citi and Mizuho Bank acted as joint global coordinators for the transaction, which launched in early November 2017 to a targeted group of banks. Both lenders each pre-committed to the transaction and invited banks to commit at one of three ticket levels with the following titles: bookrunner and mandated lead arranger (BMLA), mandated lead arranger (MLA) and lead arranger. Sasol also accommodated a limited number of smaller tickets with the arranger title.

Syndication closed with 17 banks committing, allowing Sasol to offer scale back to the joint global coordinators, BMLAs and the MLAs.

Eight banks served as BMLAs: ABN AMRO Bank N.V., Bank of America Merrill Lynch; BNP Paribas, South Africa Branch; Intesa Sanpaolo Bank Luxembourg; J.P. Morgan Securities; Bank of Tokyo-Mitsubishi; Sumitomo Mitsui Banking Corporation Europe and UniCredit Bank Austria.

Barclays Bank, Deutsche Bank and HSBC joined as MLAs, Export Development Canada and Standard Chartered Bank joined as lead arrangers and Wells Fargo Bank, London Branch and Société Générale joined as arrangers.

EY acted as independent financial advisor for Sasol.