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The Kuwait Investment Authority (KIA), operating on behalf of the country’s Ministry of Finance, has launched a $4.25 billion three-year term loan into general syndication, LPC reported.
Mizuho Bank, HSBC, Standard Chartered Bank and Sumitomo Mitsui Banking Corp are the mandated lead arrangers and bookrunners of the financing. Mizuho is also acting as the coordinator, LPC added.
The loan has two one-year extension options, which is based at the discretion of lenders, the report added. Commitments are due by July 16.
LPC added the money raised will be deployed for general corporate purposes.
The debt raise follows a decree issued last month in the Gulf state, which authorised Kuwait’s sovereign wealth fund KIA to conduct loan operations in major convertible foreign currencies from the global market on behalf of the MoF.
In March, Kuwait set the limit for public debt at a maximum of 30 billion Kuwaiti dinars ($96.9 billion) or its equivalent in major convertible foreign currencies.
(Writing by Bindu Rai, editing by Daniel Luiz)
