Abu Dhabis Aabar Investments has signed a 3.6bn ($4bn) syndicated loan with a group of international banks.
The five-year unsecured, un-guaranteed facility refinances several existing facilities, including a $2.5bn facility that is due to mature in April.
The mandated lead arrangers and bookrunners are the US Bank of America Merrill Lynch, Frances BNP Paribas, the UKs HSBC, Italys Intesa Sanpaolo, the US JPMorgan Chase, National Bank of Abu Dhabi (also documentation Bank and facility agent), Frances Natixis and Societe Generale, Japans
A further limited syndication of the facility is being arranged.
The improved conditions achieved by Aabar in this credit facility are a reflection of the markets confidence in our operations and strategy, which is also an endorsement to the support and confidence in our shareholder, said Mohamed al-Mehairi, CEO of Aabar Investments. Locking in this long-term facility is important for Aabar as the company moves forward with its strategy of diversified investment in attractive global opportunities. The transaction was led by the finance teams of IPIC and Aabar, who had created an optimal structure to tap available liquidity in the global banking system.
MEED reported in February that Aabar was seeking 4bn in debt priced below 200 basis points over London interbank rates.
Aabar is part of the International Petroleum Investment Company. It invests in real estate development, financial services, energy, commodities and aerospace, owning a major stake in UAE contractor Arabtec.
ADMIC, a joint venture between troubled Malaysian fund 1MDB and Aabar Investments, is under investigation by the Swiss attorney general over missing funds, according to press reports.