marketwatch TECHNICAL UPDATE (TT Oct06 p10-11)

Guide to LMA mandate letters for syndicated loans
The ACT has updated its borrowers’ guide to the Loan Market Association’s (LMA) documentation by adding a new section covering the mandate letter. The mandate letter is a critical document for the borrower at the start of the process of arranging a loan facility, since, together with the term sheet annexed to it, it determines the key terms on which the syndicate will be assembled and funding provided.