OLAM International, the Singapore-based leading agri-business operating across the value chain in 70 countries, on October 13 announced that it has secured a revolving credit facility aggregating US$1.75 billion. Olam International’s wholly-owned subsidiary Olam Treasury is a co-borrower and the company extended a guarantee on the facility.

The facility consisted of three tranches – a 364-day revolving credit amounting to US$583.33 million, a two-year revolving credit of US$583.33 million and a three-year revolving credit amounting to US$583.34 million.

Olam International president and global head of treasury and investor relations Jayant Parande says the financing helps to optimize the overall tenor of the company’s debt portfolio. Proceeds from the facility will be applied towards refinancing of existing loans of Olam International and its subsidiaries.

The company has appointed ABN Amro Bank, ANZ, Barclays Bank, BNP Paribas, Credit Suisse, DBS, HSBC, J.P. Morgan Chase Bank, Mizuho Bank, National Australia Bank, Natixis, Standard Chartered, State Bank of India, Sumitomo Mitsui Banking Corporation, Westpac Banking Corporation and UniCredit Bank as senior mandated lead arrangers for the facility.

Bank of Baroda, Commerzbank, Commonwealth Bank of Australia, First Abu Dhabi Bank and ING Bank acted as mandated lead arrangers.

The deal was the second revolver that Olam International arranged this year. In early July, the company’s wholly-owned European subsidiary, Olam Holdings BV, announced that it had secured a revolving credit facility amounting to US$1 billion – the first such facility secured by the company in Europe.

The facility, also guaranteed by Olam International, comprised three tranches – a 364-day revolving credit amounting to US$400 million, a two-year revolving credit of US$300 million and a three-year revolving credit amounting to US$300 million.

Proceeds from the facility will be used to refinance existing syndicated/ bilateral bank loans of the company and its subsidiaries. The financing likewise helps Olam International to optimize the overall tenor as well as reduce the cost of its debt portfolio.

ABN Amro Capital USA, Banco Bilbao Vizcaya Argentaria, Banco Santander, Bank of Baroda, Bank of Tokyo-Mitsubishi UFJ, Commerzbank, Commonwealth Bank of Australia, Coöperatieve Rabobank, ING Bank, Intesa Sanpaolo Bank Luxembourg – (Amsterdam), Mizuho Bank, Natixis, Sumitomo Mitsui Banking Corporation, Unicredit Bank AG and Wells Fargo Bank acted as mandated lead arrangers for the facility.