technology news in April 12th, according to Bloomberg, a Baidu executive responsible for media affairs revealed that the company plans to lend $1 billion, for a period of five years, but he did not further disclose more details.
China SOE’s default risk is more and more serious, and Internet giants has become a haven for investors favor. Moodie in March this year by Investors Service outlook 38 home match China sovereign credit rating, creditors are increasingly cautious of state-owned enterprises. Alibaba plans to lend up to $4 billion, people familiar with the matter said last month.
sources said, Baidu’s loan underwriters for Citigroup, Deutsche Bank and HSBC, including the $500 million loan term loan and a $500 million revolving loan, the interest rate than the LIBOR rate by 110 basis points.
, the sources said, the loan amount of $150 million or more in the bank, Baidu will pay more than the total cost in the London Interbank Offered Rate of 124 basis points; the amount of loans for banks in the 100 million to 149 million U.S. dollars, Baidu will pay more than the total cost in the London Interbank Offered Rate of 122 basis points. These costs include pay commitment in May 6th to provide loans to the bank discount rate of 5 basis points. Baidu will go to Hongkong to negotiate with the bank on April 14th.
sources said last month, Alibaba to pay the amount of loans in the Bank of $200 million and above the rate of basis points higher than Libor. Bloomberg data show that this makes Alibaba the lowest cost since this year, China’s science and technology companies. (wing fly)