19 May 2015: Clyde & Co has advised RAK Hospitality Holding (RAKHH), an asset owner and manager of a diverse portfolio of government owned hotels, hospitality and leisure assets in Ras Al Khaimah, in relation to an AED 880 million debt transaction which will be used as acquisition finance to partially fund the purchase of two hotels, Rixos Bab Al Bahr Hotel and the Banyan Tree Al Wadi Hotel. The facility will also be used by RAKHH for the refurbishment of the Hilton and Hilton Resort & Spa in Ras Al Khaimah as well as consolidating and refinancing existing debt.

Mayer Brown JSM has advised Trade and Development Bank of Mongolia (TDB) in connection with the update and the issuance of US$500 million 9.375 percent notes due 2020 under its Global Medium Term Note Programme established in 2014 guaranteed by the Ministry of Finance on behalf of the Government of Mongolia. This is the first time that TDB has accessed investors in the United States. Deutsche Bank, ING and BofA Merrill Lynch acted as the joint bookrunners and lead managers for the issuance.

Fujian Haixia Bank Co., Ltd. gained approval from People’s Bank of China for issuing no more than RMB2bn worth of bonds in the national interbank bond market to replenish the bank’s tier-2 capital. On April 27, the bonds were successfully issued.

Slaughter and May advised Whitbread Group PLC on its issue of £450 million 3.375% senior unsecured bonds, due 2025. The bonds are guaranteed by Whitbread PLC, Premier Inn Hotels Limited and Costa Limited. The bonds are expected to be issued on 28 May 2015 and are expected to be rated BBB (stable) by Fitch. The proceeds of the bonds will be used for general corporate purposes.

CONTACTS

Financing: Matthew Tobin (partner), Paul Rajkumar (associate).

Slaughter and May advised Ahli United Bank B.S.C. (AUB), a leading bank based in Bahrain with operations in Bahrain, Kuwait, Egypt, Iraq, Oman, Libya and the UK, on the issue of US$400 million 6.875% Perpetual Tier 1 Capital Securities. This is the first issuance of Basel III-compliant Tier 1 securities in Bahrain.

CONTACTS

Financing: Ed Fife (partner), Edward Comber (associate), Christel Kayibi (associate); Tax: Gareth Miles (partner), Stefan Farahani (associate).

A team led by Dr. Thorsten Kuthe, partner of the commercial law fim of Heuking Kühn Lüer Wojtek, advised AK Immobilien Projektentwicklungs GmbH (AK Immobilien) on issuing the first bond on the mezzany.com Internet platform. The advice also comprised drafting a prospectus for the public offering of 3,000 bearer bonds at a maximum nominal total of EUR 3 million to finance the real estate property bell foundry Neukölln.

Herbert Smith Freehills has recently advised Etablissements Maurel & Prom, a French oil company engaged in hydrocarbon exploration and production, on the issue of net share settled bonds convertible into new shares and/or exchangeable for existing shares (ORNANE) for a total nominal amount of approximately €115 million.

DLA Piper has advised global real estate investor Oxford Properties (Oxford) on a 50:50 joint venture with Union Investment Real Estate GmbH (Union Investment) in respect of Oxford's Watermark Place, with Oxford  acting as asset manager to the joint venture.

Union Investment, a German open-ended fund manager, will take a 50% stake in the building.

DLA Piper also advised the joint venture on the refinancing of the asset, raising a new 10-year £270 million debt facility. 

Slaughter and May advised Aviva plc on the update and revision of its £5 billion Euro Note Programme. The programme enables Aviva plc to issue senior notes and subordinated notes capable of qualifying as Tier 2 capital for regulatory purposes. Citigroup Global Markets Limited is the arranger of the programme.

CONTACTS

Financing: Miranda Leung (partner), Akshay Kundaiker (associate); Tax: William Watson (partner), Owen Williams (associate), Benjamin Wonnacott (associate).

Herbert Smith Freehills has advised China Merchants Bank on the update of its US$5 billion MTN program and on a US$500 million bond issuance under the program.

The MTN program and bonds are listed on the Hong Kong Stock Exchange. The 144A/Reg S US-dollar senior bonds have a coupon of 2.375% and mature in three years.