Syndicated Financing

Syndicated Financing

Syndicated financing transactions serve the purpose of raising large amounts of debt in the national or European banking markets. They are generally used in connection with the following transaction types for amounts of CHF 50 million and above:

  • Medium-term financing for ongoing business activities and general corporate purposes (including working capital financing)
  • Capital expenditure and expansion financing

  • Acquisition financing incl. management/leveraged buyout

  • Realignment of debt financing structure and/or securing liquidity needs (incl. refinancing of existing interest-bearing debts)

  • Project finance in Switzerland, primarily for infrastructure projects in the areas of transport, energy, water, waste disposal and leisure

  • Large-scale, syndicated financing of commodity traders ("StructuredTrade Finance")

Syndicated lending means debt financing under a common, customized financing contract that is firmly committed for a fixed period of time and in which several banks participate. A syndicated loan serves the purpose to provide for a stable, medium-term financing with a reduced refinancing risk. This instrument can very often help to raise capital even in times when capital market offers no options.

The establishment and credit administration are handled in a concentrated, coordinated manner thought the lead bank, whereby all other banking relationships with the various financial institutions are maintained. The syndicated loan is a very valuable platform to cover future financing requirements. After completion of the transaction, UBS acts as agent, minimizing your administrative duties, while, at the same time, being the link between the bank syndicate as the lenders and you as the borrower.