Shinhan and Hana Bank Jointly Participate in Overseas Syndicated Loans

Kim Jung-tae, Chairman of Hana Financial Group (left), and Cho Yong-byeong, Chairman of Shinhan Financial Group

[Asia Economy Reporter Minyoung Kim] Shinhan Bank announced on the 4th that it has signed a financial agreement to participate in a $1 billion African Export-Import Bank syndication loan (a loan jointly provided by two or more banks to overseas companies) together with Hana Bank. This is the first collaboration following the business agreement between Shinhan Financial Group and Hana Financial Group to strengthen global competitiveness.

The African Export-Import Bank is a multinational financial institution under the United Nations (UN) established to promote trade finance across the African continent. Among the 54 African countries, 51 are members or shareholders. It operates trade promotion programs targeting member countries' central banks and state-owned commercial banks and supports foreign currency liquidity related to trade finance.

Shinhan Bank was invited to this financial agreement alongside leading global banks, having been recognized for its experience in various corporate finance (IB) transactions such as UK offshore wind project financing, UK and Germany optical communication project financing, UK and Spain commercial real estate financing, local European company acquisition financing, and participation in financial institution syndication loans. It previously led the African Export-Import Bank syndication loan in September 2018.

Hana Bank has built a track record in various fields, including arranging financing agreements in power generation and renewable energy sectors such as the US gas combined cycle power plant project and UK offshore wind refinancing, as well as arranging projects like the London tunnel and road construction in the UK. It has maintained a steady relationship with the African Export-Import Bank, participating in syndication loans since 2014.

A Shinhan Bank official stated, “This financial agreement was successfully achieved through swift review and decision-making by Shinhan Bank and Hana Bank, which have a high understanding of the African Export-Import Bank and syndication loans. As the first collaboration following the business agreement between Shinhan Financial and Hana Financial to strengthen global competitiveness, it will serve as an opportunity to deepen joint operations in the rapidly growing African financial market.”