Loan syndication (a.k.a. syndicated loan) is a relatively recent (1960s) innovation where multiple lenders – banks, non-banks and/or institutional investors – club together under the same contractual and documented terms and conditions to lend a large sum of money to a single borrower or a group of related entities predominantly at a floating rate of interest. Syndicated loans are extended to sovereign and corporate borrowers, both investment-grade and sub-investment-grade. The loans can be underwritten, in which case the arrangers guarantee proceeds to the borrower, or they can be extended on a best-efforts basis, in which case arrangers will only commit to make best efforts to do so. The loan can be extended as a term loan i.e. a single loan, or a revolving credit facility, which is a line of credit that can be drawn down, repaid and re-utilised for the term of the facility. Syndicated loans can be drawn down at signing, or maintained as contingent facilities. Repayment can be amortising (paid down in instalments) or bullet (principal is paid back at the end of the term).