RBS 2004 Annual Report Download - page 19

Annual Review and Summary Financial Statement 2004
Divisional review
17
Examples of our delivery to clients
in 2004 include:
 With a groundbreaking finance structure, we
were able to act as Sole Bookrunner and Mandated
Lead Arranger for the £530 million debt package
supporting the secondary buyout of Baxi, one of
the leading providers of heating products and
services in Europe.
 We provided Songbird Estates plc, a special
purpose acquisition vehicle, with £901 million of
acquisition financing for their purchase of Canary
Wharf Group plc.
 We acted as Lead Arranger for award
winning care and services provider Barchester
Healthcare in their £525 million acquisition of
nursing home group, Westminster Healthcare.
 We provided an export loan facility for
Hammersmith-based XPAP Recycling Ltd, an
exporter of pulp from the UK and Europe to SE Asia.
 In the voluntary sector CBFM has provided
ongoing assistance to Acevo – the professional
organisation for voluntary sector chief executives
that seeks to influence national policy concerning
the charities sector.
Banking services for GlobaI Corporates
and Institutions
 A key feature of CBFM in the global
debt/financing markets is our focus on long-term
relationships, backed by our strong balance sheet
and suite of value-added product capabilities.
 CBFM currently has relationships with over
90% of the Dow Jones Eurostoxx 50 index of leading
European companies and we have made excellent
progress developing relationships across Europe. In
addition to growing operations in France, Germany,
Spain and Italy, we are the leading property leasing
company in the Nordic region. Our new branch in
Stockholm offers a broad range of CBFM products
to Scandinavian clients. In each of these countries
we aim to be the top non-domestic corporate bank.
 In the US, CBFM is successfully deploying
the same relationship-led approach that is used in
the UK and Continental Europe to progressively build
the business. During 2004 we launched a new
corporate bonds business that builds on our industry-
leading US government bonds and asset-backed
securities operations at RBS Greenwich Capital.
 CBFM has been building its presence in
selected markets in Asia Pacific as well as growing
the business in Australia where we now offer a wide
range of products to both corporate and institutional
customers. In 2004 we opened branches in Australia
and Shanghai and gained approval for new offices
in Korea and Labuan, Malaysia.
 Structured Finance has expertise in
specialised financing around the globe. In Europe
we are the market leader as an arranger of project
finance, property finance, and acquisition finance,
working particularly closely with the growing number
of private equity sponsors. We are now seeing very
good growth in these businesses in the US as well.
We are also a leading European asset finance
provider, particularly in trains and aircraft, through
Angel Trains and RBS Aviation Capital.
 Financial Markets has continued to grow
in sterling, US dollar and euro bond markets and
over the last two years RBS has been the fastest
growing player in the euro bond market, providing
further evidence of RBS’s position as a global
force in the bond markets. Our foreign exchange
business, where we are now one of the market
leaders, is ranked 5th in the world.
Deals undertaken in 2004 include:
 RBS was Joint Bookrunner and Liquidity
Provider for Aviva’s £418.5 million UK equity release
mortgage securitisation, a new fast-growing sector
in the UK mortgage market.