Three Crédit Agricole CIB’s transactions rewarded as “GTR Best Deals 2023”
In mid-April, Global Trade Review (GTR) named three of our cross-border transactions as “GTR Best Deals 2023” – a Reverse Forfaiting Programme for Renault-eGT, the electric vehicle (EV) battery production facility of SK On Hungary and Euler Hermes covered financing of Green Line Railway in Egypt.
Crédit Agricole CIB also won the "Best Trade Finance Bank in Western Europe 2023” award at the GTR Leaders in Trade 2023 Awards, during a ceremony hold in London on May 3rd.
Congratulations to the teams!
Renault-eGT – Reverse Forfaiting Programme
In December 2022, Crédit Agricole CIB successfully arranged a 60-day CNY 1.6 billion reverse forfaiting programme for Renault-eGT. This transaction marks the first cross-border RMB-denominated green supply chain financing solution in the market, and the first green reverse forfaiting programme from Crédit Agricole CIB in Asia-Pacific. This successful programme will support the significant underlying export volume of 7,000 electronic vehicles from China to major European automobile distribution groups each month.
Laurent Proutière, Crédit Agricole CIB, Regional Head of International Trade and Transaction Banking for Asia-Pacific:
“This award-winning deal demonstrates our commitment to delivering on client needs through our international network, reaffirming clients’ trust in our expertise. We look forward to more innovation successes with our clients and partners in the region and beyond.”
Javier Sanchez-Asiain, Crédit Agricole CIB, Global Head of Global Trade Finance:
"Congratulations to all Crédit Agricole CIB teams who took part in the 2022 transactions awarded by GTR. Renault-eGT deal was one of the 2022 landmark achievements for Trade Finance in Asia-Pacific, as it was the first cross-border RMB-denominated green supply chain financing in the market. The facility was closed with innovation, scalability and ESG feature in mind. It is a reference for future cross-border green supply chain programmes in Renminbi."
SK On Hungary – EV Battery Production Facility
This transaction consists of 3 Export Credit Agencies (ECAs) backed facilities – USD 700 million by K-Sure, USD 200 million KEXIM and USD 800 million Hermes along with the USD 300 million direct facility from KEXIM. Crédit Agricole CIB acted as Initial Lender, Mandated Lead Arranger (MLA) across the 3 ECAs backed facilities, as Global Facility Agent and Hermes Facility Agent with USD 200 million allocation along with 6 other commercial banks.
This deal bankrolls the expansion of SK On’s electric vehicle battery production capacity in Europe, to meet the increasing demand for EV batteries globally. The soaring demand stems from global auto OEM’s adherence to the Internal Combustion Engine (ICE) phase-out plans and accelerating transition towards electrified transport.
SeGu Kang, Credit Agricole CIB, Head of International Trade and Transaction Banking Korea:
“It is a strong credential for our Export Finance franchise in the EV battery space, a key growing sector in terms of Energy Transition, which is also fully aligned with our Bank’s strategy for achieving our target of net zero by 2030. It also helps reinforce Crédit Agricole CIB’s position in the entire electric vehicle value chain for upcoming EV related investments by our key clients across upstream and downstream.”
Chang Yong Park, Senior Banker for the SK Group:
“It is a landmark transaction with SK On in terms of size as well as complexity. We are pleased and proud to participate in this remarkable transaction, which is one of SK Group’s key ESG initiatives, as MLA as well as global agent bank. This transaction has reinforced our relationship with SK On.”
Egypt Green Line Railway – Euler Hermes covered financing
Crédit Agricole CIB acted as Joint Coordinator, Sole Documentation Bank, Joint Bookrunner, Initial Mandated Lead Arranger, Joint Green Loan Structuring Bank and Joint Green Loan Coordinator on this EUR 1.99 billion financing covered by Euler Hermes, the German Export Credit Agency. This financing supports the largest contract in Siemens’ history for Egypt’s High Speed Railway Network project, of which the Green Line is the first phase, and contributes to the strategic investment by Egypt to modernize its railway network.
Simon Lee, Crédit Agricole CIB, Regional Head of International Trade and Transaction Banking for the Middle East and North Africa:
"We are honoured that Crédit Agricole CIB's expertise and dedication have contributed to the success of this groundbreaking project for Siemens Group and supported the Egyptian government's goal of revolutionising its transportation sector by constructing its inaugural high-speed electric rail network. This significant initiative will generate employment opportunities, enhance economic growth, and improve living standards for millions of individuals by developing a more effective, secure, and eco-friendly transportation system.
Crédit Agricole CIB is committed to promoting sustainable development. In addition to our role in this project, which is expected to reduce carbon emissions by 70% in comparison to the current emissions from car and bus transportation, Crédit Agricole CIB has structured a number of complex ECA transactions for the National Authority for Tunnels and other government-related entities, supporting the country's efforts towards a more sustainable future.
This landmark financing reinforces Crédit Agricole CIB’s market-leading position in ECA financing in Egypt and the region as well as globally and demonstrates the trusted relationship with Siemens Group, with the successful execution of this transaction led by our Export Finance teams in Dubai, Paris and Frankfurt.
Crédit Agricole has a strong presence throughout the region, including, Credit Agricole Egypt SAE which has over 80 branches and 2,500 staff in Egypt.”
André Gazal, Crédit Agricole CIB, Global Head of Export Finance:
“We are excited to have two landmark transactions, in which Crédit Agricole CIB played a major role, selected as Best Deals by GTR.
The SK On investment in Hungary, involving 3 ECAs for a critical EV battery production project is aligned with Crédit Agricole CIB’s focus on accompanying energy transition solutions and providing funding for an important sector in transformation.
The Green Line project is an ambitious high-speed train project to develop the rail infrastructure in Egypt, an important country in the Crédit Agricole network. Each project involved expertise from teams in Germany, Korea, UAE and France. Great teamwork and dedication by our Crédit Agricole CIB teams was displayed to ensure the smooth closing of these important transactions.”
Crédit Agricole CIB assists Sydney Airport in its return to the Debt Capital Markets
Largest single project financing facility in India to power its first round-the-clock renewable energy programme
Crédit Agricole CIB establishes Wholly Foreign-Owned Enterprise in mainland China