In 2013 Cycas was appointed by a real estate developer in Amsterdam to arrange project finance for a new hotel (320 rooms).
After reviewing the funding needs Cycas prepared a short list of potential banks and then, based on reactions received from those banks, selected a foreign bank to introduce to the client. Using their experience of new development finance, Cycas negotiated all of the conditions with the bank to create the term sheet as well as the final Credit Facility Agreement. As part of the approval process Cycas also prepared all of the necessary documentation required by the credit committee of the bank.
Thus Cycas took over the whole finance process from the client as well as handling much of the preparation for the account manager at the bank. This speeded the process and considerably improved the deal’s chance of success.
However, an additional problem was experienced during the process when the development company was sold before the Credit Facility Agreement had been closed. As a result both Cycas and the bank had to deal with a new client. This new client was introduced successfully and Cycas managed the process until the transaction was closed at the beginning of 2014.
The deal with this foreign bank was achieved on much better loan conditions (20% cost savings) than could have been agreed with a Dutch bank