RBS 2006 Annual Report Download - page 15

RBS Group • Annual Report and Accounts 2006
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Divisional review continued
■In North America, RBS financed the energy sector’s
largest acquisition to date, that of Burlington Resources
by ConocoPhillips, for $35 billion. We played the lead role
as administrative agent on $22.5 billion of credit facilities,
including $15 billion of bridge facilities to finance the cash
portion of the acquisition and $7.5 billion of permanent debt
facilities. RBS Greenwich Capital was also joint Bookrunner
on $3 billion of related debt capital markets issuances.
■RBS was selected by German industrial conglomerate
Siemens as one of six banks arranging $4 billion acquisition
finance facilities and one of four joint lead managers for
Europe’s largest-ever hybrid bond issue of £900 million
and €750 million.
■We arranged acquisition financing for the newly built
Kamppi Shopping Centre in central Helsinki. The owners
agreed to sell the company to a new company established
by Boultbee, a specialist shopping centre manager, and
RBS, for €345 million. The shopping centre opened in
March 2006 and was visited by more than three million
people in its first month.
■RBS Structured Ship Finance successfully completed
a financing programme in China for three ships for
Shanghai Time Shipping for $60 million. We enabled the
company to secure the ships offshore at attractive prices,
and charter them in a strong international market. We also
obtained Chinese government approvals to import, flag
and register the vessels. This was the first joint ship
financing by RBS working with Bank of China as its
strategic partner in the Chinese market.
■RBS acted for Leighton Holdings Limited, Australia’s
largest construction and contract mining group, as
Bookrunner, Mandated Lead Arranger, Residual Value
Guarantor and joint Lead Manager for an AU$750 million
leveraged operating lease facility and associated senior
debt and bond financing. The purpose was to enable
Leighton to fund their equipment requirements in a
flexible and capital efficient maner.
■We were one of two joint Bookrunners and joint
Lead Arrangers on Hutchison Whampoa Ltd’s inaugural
£700 million sterling debt capital issue. The company
took advantage of attractive sterling market conditions,
benefiting from a strong appetite for corporate names
in longer-dated maturities, to launch and price an
11 and 20-year dual-tranche issue successfully. To date
this is the largest ever sterling issue by a non-Japanese
Asia Pacific corporate.
Corporate Markets continued
Divisional review Corporate Markets
Ferrovial Our Global Banking teams in both Spain and the
UK worked together to secure the £15 billion of acquisition
funding required by Spanish infrastructure company, Ferrovial,
for the purchase of BAA. Our knowledge of both the Spanish
and UK markets and global distribution capability were
important attributes for Ferrovial in selecting RBS.
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