Syndicated Lending

Lawcastles has acted for both borrowers and lenders in many transactions in a broad range of corporate financings involving a variety of structures. Lawcastles has extensive experience in providing services in syndicated lending transactions. The firm assists in structuring the syndicate, providing service to arrangers, administrative agents, security trustee, etc. It also assists borrowers to deal with lender requirements, including loan documentation and supporting securities.

The firm has significant experience in conducting due diligence, drafting appropriate loan documents of all types, giving legal opinions, perfection of securities through filing and/or registration, etc. One of the projects that was concluded in the past in which Lawcastles provided advisory services involved acquisition finance loan facility (US$ 650 million). In this transaction, Lawcastles acted as local counsel for administrative agent, namely, Wachovia Bank, National Association in relation to taking security over the assets of the borrower’s Tanzanian subsidiary.

We provide advisory services on securing financial obligations. The types of collaterals available in Tanzania include land, ships, aircraft, equipment, mineral rights, shares, benefit of a contract, receivables, bearer securities, etc. In addition, a number of other devices can be used as collaterals without in law creating security interests. These include the reservation of title under a contract of sale, contractual set-off and cash deposit expressed not to be repayable until the debt secured has been repaid. Under Tanzanian law, there are broadly four types of security interests that can be created over available collaterals. These are mortgage; charge; pledge; and lien.