In late 1999, the Walt Disney Company and the Hong Kong government agreed to develop Hong Kong Disneyland, HK $ 28 (US $ 3,6) billion theme park and resort complex set to open in late 2005. As part of an overall package of funding, sponsors have decided to raise HK $ 3,3 billion of non-recourse bank loans for construction and working capital, as well as individual Chase Manhattan Bank, and the syndicate to ensure these facilities. This case relates to a process that Chase competed successfully lead this operation. Key issues facing Chase whether to bid at all, as in the auction, and how to structure syndication to meet the needs of borrowers, their own profit objectives, and expectations of the market in the attractive price of credit. Includes a general section on the process, the participants and the economy of syndicated loans for students who are not familiar with the syndicated loan. This module is part of project financing in elective curriculum (EC) course large investment (LSI). Although written for a course on project financing, it can be easily modified for the courses in the capital markets or financial institutions. "Hide
by Benjamin C. Esty, Michael Kane Source: Harvard Business School 22 pages. Publication Date: March 1, 2001. Prod. #: Two hundred and one thousand and seventy-two-PDF-ENG
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