BBVA through its unit of Structured Trade Finance in Madrid has concluded with FCC a very innovative and tailor-made CESCE (the Spanish Export Credit Agency) covered facility for the issuance of their contractual bondings.

Transaction Overview

  • On September 14th,  2012, BBVA signed this CESCE covered Guarantee Facility with FCC for a total amount of USD 450 Mio (the "Facility").
  • FCC is the Leader in Environmental Services and Infrastructure in Spain with 12.1 billion € in revenues and 1.4 billion € in EBITDA in 2010, with more than 100 years experience operating in 54 countries  and with more than 56% of revenues that come from international markets.
  • This Facility (tailor-made to FCC's needs) perfectly meets the peculiarity of the market by mainly leveraging on its high flexibility (multi-destination / multi-currency / tenors / etc.). In a very volatile European banking environment, it provides FCC with additional banking lines in support to their new multiple business opportunities.
  • BBVA is acting as Agent (for all the matters related to CESCE and FCC) and Principal (i.e. issuer of the contractual bondings) in the Facility with the possibility to invite third banking institutions to participate as Principals (with the same level of cover from CESCE).
  • By its size and characteristics, this Facility can be considered as a reference (at least) in the Spanish market. This exceptional result has been achieved thanks to the sound professionalism of the teams involved from CESCE, FCC and BBVA as well as the long-standing and excellent relationship between the parties.
  • BBVA is also benefiting from an important delegation from CESCE in the handling of this Facility based on the impeccable track-record and mutual trust between the two institutions.
  • BBVA and its Structured Trade Finance unit demonstrate once again their high level of  adaptation to the ever-changing market conditions as well as to our clients' very demanding needs (and in this specific case, with an ultra cooperative Export Credit Agency.
  • For FCC, quoting its Finance Director "this facility is an important step for our internationalization goal and will allow us to tackle important projects at a time of credit restrictions for all Spanish companies, with a new scheme that benefits all the parties involved in the transaction"