served as the legal adviser of Victoria International Container Terminal Limited (VICT
) which has just secured a syndicated loan facility worth $398 million (approximately US$300 million).
The Allens legal team included James Darcy, Paul Telford and Mizu Ardra while the Linklaters team included James McLaren, Jessica Chilton and Will Kim.
“The project was an example of complex, cross-jurisdictional work where the advantages of a well-coordinated, global team helped achieve a great commercial outcome for the client,” Allens lead partner James Darcy said.
The facility closed on 20 July 2016 and which will be used in the continuing construction and development of the Webb Dock at the Port of Melbourne is covered by Finnvera, the Finnish Export Credit Agency, and was secured from seven international finance firms..
Citibank N.A., KFW IPEX-Bank GmbH and Standard Chartered Bank are the Mandated Lead Arrangers and Bookrunners, Bank of China Limited, DBS Bank Ltd. and Investec Bank PLC are the Mandated Lead Arrangers, and Cathay United Bank is the Lead Arranger.
VICT, the Australian subsidiary of Philippines-based International Container Terminal Services Inc. (ICTSI), started building the terminal in late 2014.
The first entry of ICTSI into the Australian market, the project will be completed in two stages. The start of commercial operations is expected in the fourth quarter of 2016 for the first phase and full rollout next year for the second phase.
“In a number of ways this transaction challenged the market for Australian infrastructure project financings, including the long tenor of debt made available by the participating banks,” McLaren, Linklaters Banking and Projects partner based in Hong Kong, said.
Allens and Linklaters advised VICT as borrower VICT as borrower and ICTSI as sponsor, helping secure favourable terms in a difficult market, with the support of an international bank group and the notable absence of a requirement for long-term contracted revenue streams.
The Webb Dock is one of ICTSI’s most anticipated container terminal projects, boasting a world-leading fully automated unloading and stacking system.
ICTSI, helmed by billionaire Enrique Razon, Jr. and is headquartered at the Manila International Container Terminal in the Port of Manila, is one of the largest port operators in the Americas, Eastern Europe and Africa.