United Arab Bank (UAB) declared that it has closed a three-year $100 million syndicated Murabaha facility with four banks based in the UAE, Bahrain, and Kuwait, marking its first Islamic syndication.
The four banks are UAE-based Al Hilal Bank, who served as the Mandated Lead Arranger and Bookrunner for the deal, while Bahrain-based Arab Banking Corporation and Sharjah Islamic Bank, were the other Mandated Lead Arrangers. The National Bank of Kuwait also functioned as a Lead Arranger.
It is stated that the syndicated Murabaha facility which has been taken out for general corporate purposes, was almost twice oversubscribed. This is the second for UAB in a matter of months.
I am very pleased to announce the completion of this syndicated Murabaha deal, which is further evidence of UAB s burgeoning reputation throughout the Middle East, said Paul Trowbridge, Chief Executive Officer of United Arab Bank, Our evolution from a relatively small financial institution in Sharjah to the fastest growing bank in the Middle East, offering a diverse range of services to loyal customers all across the UAE, is testament to our strong and sustainable growth path and excellent market profile the reason why banks from across the region have confidence in us, and were eager to participate in this Murabaha facility.
Our major role as Mandated Lead Arranger and Bookrunner for the syndicated Murabaha for United Arab Bank reflects our exceptional ability to both engage in and handle such major transactions, said Mohammed Jamil Berro, Group CEO, Al Hilal Bank, It also signifies our intention to closely work with other members of our industry to our mutual benefit and, ultimately, to the advantage of our customers and stakeholders. This new long-term agreement will definitely take the already productive collaboration between Al Hilal Bank and United Arab Bank to the next level.
At the Banker Middle East Industry Awards for 2014, UAB was recognized as the fastest growing bank in both the Middle East and the UAE.