The National Bank of Abu Dhabi (NBAD) has closed the syndication of its $2bn club loan facility.
The loan was oversubscribed with commitments of nearly $3bn received in syndication from 14 major international banks across Europe, Asia and the US.
NBAD will not be increasing the facility size and banks commitments have been scaled back, the bank said in a statement. NBAD is very pleased with the success of this transaction, which again serves to highlight the confidence in the creation of a larger, stronger bank through the merger of FGB and NBAD, said Stephen Jordan, Group Treasurer of NBAD.
The mandated lead arrangers are the US Bank of America Merrill Lynch, Japans Mitsubishi UFJ Financial Group, the UKs Barclays Bank, the US Citigroup, Frances Credit Agricole Corporate and Investment Bank, the UKs HSBC, Japans Mizuho Bank, Natixis, the UKs Standard Chartered Bank, Japans Sumitomo Mitsui Banking Corporation, Frances Societe Generale, Italys UniCredit Bank, are the US Wells Fargo Bank.
The Bank of China (Macau) and Bank of China (Hong Kong) Limited are lead managers. Mitsubishi UFJ Financial Group is the facility agent.
In early December, the shareholders of First Gulf Bank (FGB) and NBAD approved a proposed merger of the two banks, which will create the largest financial institution in the UAE with assets of approximately AED655bn ($178bn).