Malaysian consortium secures GBP790 million syndicated financing for Battersea acquisition and development
A Malaysian consortium comprised of Sime Darby Property, SP Setia Bhd and the Employees Provident Fund received GBP790 million in development and land refinancing loan. The said amount will be used to fund the development and acquisition of the Battersea Power Station in London over the next few years, according to a report by New Straits Times.
This is one of the largest real estate financing deals for 2013. The transaction includes GBP532 million development facility to support the first phase of the Power Station development and refurbishment. This project will run for more than three years. The deal also includes GBP258.2 million land facility. This would be used to refinance the first loan for the acquisition of the site over five years, the report explained.
The transaction was arranged by a group of international banks including CIMB Bhd, OCBC, Standard Chartered and Malaysian Banking Bhd, the report said.
CIMB Group Chief Executive Datuk Seri Nazir Razak witnessed the signing of the agreement. Razak said the syndication was a historic event as Malaysian banks have supported a Malaysian consortium for an international development project, New Straits Times reported.