Industrial developer CTP has successfully signed its debut Japanese term loan facility (samurai loan) of JPY 30 billion (€185 million), which is sustainability-linked and has a 5-year maturity.
The loan was signed at TONAR + 130bps, resulting in a EUR fixed all-in cost of 4.12% after swapping. A total of 13 banks participated, with SMBC Group acting as the sole Coordinator, Sustainability Coordinator, Bookrunner, and Mandated Lead Arranger.
This financial move represents a significant milestone for CTP, providing access to a large pool of Japanese yen investors and further diversifying its funding sources.
Richard Wilkinson, Group CFO of CTP, said: “Diversification of funding is one of our main priorities. We transformed CTP from a purely EUR secured syndicated facilities financing structure in 2020, to largely unsecured financing structure through bonds, private placements and unsecured syndicated facilities. Adding the Japanese Yen market to this mix further improves our position, as the Japanese Yen market – which is the world's 3rd largest lending market after USD and EUR – is competitive at different times than the EUR market.”
The samurai loan market is currently experiencing a surge, with loan volumes rising to their highest level in over 15 years.
Non-Japanese companies are increasingly tapping into the Japanese currency, with many making their debuts or returning to raise larger amounts.
