Panama BAC Completes The Largest Financing Transaction In Its History -

(MENAFN- Newsroom Panama) BAC International Bank, Inc. (BAC) successfully closed a USD 500 million international syndicated financing, making it the largest financing of its kind in the history of a Panamanian banking institution. The transaction, led by Sumitomo Mitsui Banking Corporation (SMBC), JPMorgan Chase Bank, NA (“JPMorgan”), and Wells Fargo, significantly exceeded the original offering, reflecting the confidence of global investors in the bank's performance and financial strength.

In 2023, BAC obtained a USD 270 million international syndicated loan, divided into two USD 135 million tranches maturing in April 2025 and April 2026. This loan then helped boost the growth of its local loan portfolio. At the beginning of 2025, with the imminent maturity of the first tranche of that loan, the bank launched a new operation initially valued at USD 300 million, engaging leading financial institutions to guarantee competitive conditions and extend its funding terms.

The investment commitments received doubled the initial offer, allowing BAC to expand the facility to USD 500 million. This amount represents the full refinancing of the 2023 transaction, the original tranches of which were restructured to mature in April 2027 and April 2028. Thanks to this early rollover strategy, BAC not only secured its resources for the coming years, but also optimized its liability structure, increased the diversification of its funding sources, and reduced its exposure to liquidity risks.

“The support of global banks such as SMBC, JPMorgan, and Wells Fargo, as well as the oversubscription achieved, confirm the positive perception the international market has of BAC Panama and the potential of the Central American region ,” said Ramón Chiari, CEO of BAC Panama .“This refinancing not only strengthens our capital base, but also provides us with the financial flexibility necessary to continue growing sustainably and meet the credit demand in priority sectors.”

With these resources, BAC Panama will maintain its focus on expanding its local credit portfolio, particularly in small and medium-sized businesses, corporate loans, consumer loans, and housing project financing. Additionally, the bank will continue developing digital and sustainability initiatives, supported by a more robust and diversified financial structure. Overall, this transaction sets a new benchmark for corporate financing in the country and strengthens BAC's position as a leader in the Panamanian and Central American banking sector.

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