BTA trade finance deals recognized among the best of 200815.04.2009 / Press-service
As many as two different trade finance deals by BTA Bank have each been named a “Best Deals of 2008” and “Deal of the Year 2008” by leading industry publications Trade Finance and Global Trade Review claiming between them 4 awards out of the year’s worldwide total of 98.
One of the winners was the US$43.68 million deal by BTA that arranged financing for the construction of a cement plant in the South Kazakhstan region by TOO Standard Cement. The People’s Republic of China’s Tianjin Cement Industry Design & Research Institute Co., Ltd. was the equipment supplier.
The publications cited the following facts about the transaction that helped them pick it as a winner:
- — BTA Bank was the first commercial bank in Kazakhstan to close a deal with the Export-Import Bank of China under the government of the PRC’s programme of preferential lending to the Shanghai Cooperation Organisation member nations;
- — The financing was provided at a favorable rate for six years; also, the repayment of the principal was subject to a grace period, which helped relieve the company financially by allowing it time to accumulate funds after the start-up and initial sales.
Commenting on the deal, Managing Director of BTA’s International Department Timur Sabyrbayev said, “The success of this project has a positive effect on trade and economic relations between Kazakhstan and China, and, hopefully, is the first of many win-win transactions that will be structured for the benefit of Kazakh companies between ourselves and the Export-Import Bank of China in the years to come.”
“We were looking for a reliable partner to help us with financing and it was BTA that we turned to, because it was one of the most innovative in the CIS and they offered a flexible financing structure that made a lot of economic sense to us,” commented director of TOO Standard Cement Baurzhan Seitzhanov.
Also praised as a “Best Deals of 2008” and “Deal of the Year 2008” was BTA’s €15.6 million deal financing the construction of the Aleksinskoye Steklo glassware plant in the Tula region of Russia.
Since the plant’s equipment was supplied from more than one country, the financing was provided by several banks under insurance coverage from the Export Credit Agencies of Italy and France, for 7 years and on competitive terms which both publications mentioned as reason for recognising the deal.
“We are pleased with BTA as our partner because they are flexible, they can sort out any potential problems very quickly, and they are a solid team of professionals,” pointed General Director of ZAO Aleksinskoye Steklo Sergei Nikonov.
The recognitions showcase the innovative approach of BTA, a regular on both publications’ honour rolls for five straight years, to structuring transactions and diversifying its investor base, both of tremendous importance in times of turmoil in the global financial market.
One of the few in its region to aggressively raise financing for its clients’ projects in the global market in 2008, BTA was instrumental in ensuring that they would continue to get implemented on the best available terms.
BTA Group is a leading banking network in the CIS.
The network of BTA’s partner banks extends to Russia, Ukraine, Belarus, Georgia, Armenia, Kyrgyzstan and Turkey. BTA’s representative offices operate in Russia, Ukraine, China, UAE and the UK.
The bank has one of the largest branch networks in Kazakhstan (22 branches with 274 service locations) along with an extensive chain of ATMs (787) and self-service terminals (160). BTA serves about 1.2 million retail and 130,000 corporate customers.
For media contacts:
BTA Bank, Brand Office
Public Relations Department,
Tel.: +7 (727) 266-47-99
Fax. +7 (727) 250-12-55