COSCO (Cayman) gets $200 million for commercial paper program
Bank of America reported the closing of a $200-million direct-pay letter of credit facility for COSCO (Cayman) Co. Ltd., a subsidiary of China Ocean Shipping (Group) Co.
BA Asia Ltd., the investment banking arm of Bank of America in Asia, is the coordinating arranger, along with Banca Commerciale Italiana, Shanghai Branch; Banca Monte dei Paschi de Sien SpA.; Bank Brussels Lambert S.A., Hong Kong Branch; Bank of China, New York branch; Citibank N.A., Beijing Branch; Bank One, N.A.; the Chase Manhattan Bank; and Natexis Banque, Hong Kong branch.
Bank of America will issue a letter of credit to support the commercial paper program. The direct-pay letter of credit facility was successfully syndicated and over-subscribed. Fourteen banks have joined the facility. COSCO will use the proceeds of the program to finance its working capital needs.