Shearman & Sterling has advised a consortium of banks led by Commerzbank on the EUR 310 million refinancing of IVG Cavern Fund's institutional fund. The IVG Cavern Fund was launched in 2008 by real estate investor IVG and holds 70 oil and gas caverns in Etzel near Wilhelmshaven.
The EUR 310 million loan combines a EUR 100 million 5 year amortizing tranche – held by two banks, including Commerzbank – and a EUR 210 million 10 year bullet tranche, EUR 173 million of which were placed by Commerzbank with five institutional investors by issuing fixed rate bonds, using a Luxembourg investment vehicle initiated for this purpose.
Shearman & Sterling had already advised the lenders on the original financing in 2008 and on a further EUR 455 million financing of IVG Cavern Fund in 2010.
The Shearman & Sterling team was led by partner Esther Jansen and included associate Odilo Wallner (all Banking & Finance).