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Fortescue completes landmark RMB14.2 billion syndicated term loan—a first for Australian corporates

Fortescue completes landmark RMB14.2 billion syndicated term loan—a first for Australian corporates
Published Date
Aug 8 2025
A&O Shearman has advised Fortescue Ltd (Fortescue) on the successful syndication of a renminbi-denominated (RMB) syndicated term loan facility, with participation from Chinese, Australian, and international lenders.

The syndicated term loan is valued at RMB14.2bn (approximately USD2bn) and marks a significant milestone, which Fortescue has stated is the first RMB-syndicated term loan of its kind by an Australian corporate.

The unsecured five-year facility was arranged by Bank of China Limited (Sydney branch) and Industrial and Commercial Bank of China Limited (Sydney branch), acting as mandated lead arrangers, underwriters and bookrunners. It carries a fixed interest rate of 3.8% per annum.

Fortescue will use the proceeds for general corporate purposes and to support their ambitious decarbonization agenda.

The transaction represents a key step in Fortescue’s capital management strategy, including achieving its lowest ever cost of debt.

The A&O Shearman team was led by Perth partner Peter Wilkes, supported by associates Ranya Al-Doori and Dylan Williams, and graduate at law Alistair Murray, with additional support from Hong Kong partner Roger Liu.

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