Working Group on Sterling Risk-Free Reference Rates publishes paper on loan transactions referencing Sterling LIBOR
The Working Group on Sterling Risk-Free Reference Rates has published a paper addressed to loan market participants who continue to reference Sterling LIBOR in new and legacy transactions. The paper sets out: (i) the potential considerations associated with legacy or new loan agreements referencing LIBOR; (ii) steps which can be taken to mitigate these considerations for new transactions; and (iii) measures which can be taken to mitigate these considerations for legacy transactions.
While the note principally discusses sterling LIBOR, the considerations in the paper are likely to have relevance for syndicated loans in any currencies for which LIBOR is quoted.
Working group on euro risk-free rates seeks market feedback on transition from EONIA to ESTER and ESTER-based term structure methodologies
The working group on euro risk-free rates has published a report on the transition from the euro overnight index average ('EONIA') to the euro short-term rate ('ESTER') and a second public consultation on determining an ESTER-based term structure methodology as a fallback in EURIBOR-linked contracts.
Both papers seek feedback from market participants and other stakeholders by 17:00 Central European Time on 1 February 2019.
Recent LMA Submissions
LMA has responded to a BEIS consultation relating to the National Security and Investment White Paper
LMA writes to HM Treasury in advance of UK transposition of MLD 5
LMA responds to Working Group on Sterling Risk-Free Reference consultation on Term SONIA Reference
New Schuldscheindarlehen E-learning Module
This new stand-alone module provides an overview of the Schuldscheindarlehen product, the parties involved and the timeline to market. We hope that this module will help educate those less familiar with the product about its key features and characteristics.
Recent LMA Documentation
New version of the LMA's German Law Multicurrency Term and Revolving Facility Agreement
Guidance note: United States and European Union sanctions
LMA announces publication of new Schuldschein Loan Agreements and User Guide
We have published a paper which seeks to emphasise the number of regulatory issues which could arise in a lending context as a result of a "no deal" scenario, and the negative repercussions that this would create for the wider EU economy.
Update to Green Loan Principles (GLP)
The LMA, together with the APLMA and LSTA, has
published an extended iteration of the Green Loan Principles (GLP), providing a
more in-depth explanation as to how the GLP can be applied to revolving credit
facilities whilst maintaining the integrity of the green loan product.
