Punjab National Bank hires banks for $100mln loan

PNB avails itself of services of four international banks after meeting with Taiwan and Singapore lenders.

Punjab National Bank Ltd. hired four banks to help it borrow $100 million in three-year loans, according to a person with direct knowledge of the matter.

Bank of America Corp., Bank of Tokyo-Mitsubishi UFJ Ltd., Credit Agricole CIB and HSBC Holdings Plc started marketing the loan to other banks last week, and it will likely price in early July, said the person, asking not to be identified as details are private, according to a report in Bloomberg.

Lenders that agree to pledge $15 million or more will receive an all-in fee of 145 basis points over the London interbank offered rate, commitments of $10 million to $15 million will get a fee of 140 basis points over Libor, while those of $5 million to $10 million will get 135 basis points more than Libor, according to the source.

Punjab National Bank met with more than 25 banks in Taipei and Singapore last week, the person said.