Mauritius Bank Syndicates $100m Loan

by Lorys Charalambous, for LawAndTax-News.com, Cyprus

27 January 2006

Mauritius Commercial Bank has raised a loan of US$100m on the international capital markets which will be used to finance foreign currency regional investments by local firms.

The completion meeting took place this week at the bank's head office in Port Louis. The success of the issue, which was over-subscribed, underlines the international credibility of the bank in the eyes of other financial institutions.

Said Pierre-Guy Noel, chief executive: "The success of this syndication at competitive rates reflects the good reputation of MCB internationally. It also underlines the confidence of foreign investors in the Mauritian economy. The completion of this syndication at a moment when the economy is facing numerous challenges is reassuring."

The lead banks in the placing are Sumitomo Misui Banking Corporation Europe Ltd and ING Bank. Other members of the consortium are China Construction Bank, Dresdner Kleinwort Wasserstein, Erste Bank, Mizuho Corporate Bank, Natexis Banques Populaires, Wachovia Bank, WestLB, Raiffeisen Zentralbank, American Express Bank and Citigroup.

The $100m will help MCB to finance leisure sector and manufacturing investments, particularly in the Maldives and the Seychelles. MCB is looking towards which generate dollar returns. "This loan will be helpful to the development of the economy, and consolidates the image of Mauritius at the centre of regional financing," added Mr Noel.

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