Axis Bank to raise $700-M through ECB

Axis Bank is raising USD 700-M through a dual-tranche loan facility under the Reserve Bank of India’s special external commercial borrowing (ECB) swap facility. The transaction is structured as a club facility. CTBC Bank is contributing USD 150-M. United Overseas Bank, USD 150-M, and the International Finance Corporation (IFC), USD 100-M.The financing arrangement comprises three-year and five-year tranches. Axis Bank is raising approximately USD 275-M in the three-year bucket, with the remaining capital allocated to the five-year tenure. The three-year loan is priced at 110 basis points above the Secured Overnight Financing Rate (SOFR), while the five-year loan carries a pricing of 120 to 125 basis points above the SOFR.