TSW Capital has closed seven transactions in Bangladesh, most of them offshore funding for licensed banks. The pattern is consistent: a Bangladeshi bank that needs foreign currency term funding, and a development finance institution or impact lender prepared to take the credit.
Five of our Bangladeshi mandates have been for licensed banks. Facilities arranged include a USD 20Mn senior debt facility, a USD 15Mn term loan and a USD 11.5Mn and EUR 10Mn dual-currency senior facility.
For a Bangladeshi bank, offshore funding is usually about two things at once — tenor and currency. Domestic deposits are short term; a development lender can offer long term funding, in dollars or euros, at a cost that makes sense once the on-lending book is priced properly. Getting there means satisfying a credit process that is more rigorous than a domestic facility and, in most cases, an environmental and social review as well. We manage both.
Beyond plain term funding we have arranged a USD 5Mn trade loan, a USD 10Mn term loan for a microfinance institution and a USD 3Mn equity investment in a Bangladeshi energy business — so the mandate range is wider than bank term debt alone.
USD 20 Mn Senior Debt
USD 15 Mn Term Loan
USD 11.5 Mn + EUR 10 Mn Senior Debt
USD 10 Mn Term Loan
| Borrower | Facility arranged |
|---|---|
| Licensed bank | USD 20Mn senior debt |
| Licensed bank | USD 15Mn term loan |
| Licensed bank | USD 11.5Mn + EUR 10Mn senior debt |
| Microfinance | USD 10Mn term loan |
| Licensed bank | USD 5.5Mn term loan |
| Licensed bank | USD 5Mn trade loan |
| Energy | USD 3Mn equity |
If you are a Bangladesh based Bank, finance company, microfinance institution, a renewable energy company or a corporate looking at offshore funding, tell us what you are trying to raise and over what tenor. We will tell you which lenders are relevant and what they will require.
