A $120 million loan for Kuwait-based Arab Maritime Petroleum Transport Company (AMPTC) to finance the purchase of oil product tankers has closed heavily oversubscribed, says ANZ Investment Bank, one of three senior arrangers for the deal. The other two are Arab Petroleum Investments Corporation (Apicorp) and Gulf International Bank(GIB - MEED 6:8:99).

Participating at senior lead manager level are Al-Bank Al-Saudi Al-Fransi, Emirates Bank International, Riyad Bank and Saudi Investment Bank. The lead manager is Deutsche Verkehrsbank, and the managers are Arab Bank, Bank of Bahrain & Kuwait, British Arab Commercial Bank, Commercial Bank of Qatar, Credit Lyonnais, Qatar National Bank, The Arab InvestmentCompany, United Arab Bank and Union des Banques Arabes & Francaises (UBAF).

The eight-year loan carries interest of137.5 basis points over Libor and has a one-year grace period. The principal will be paid back in equal quarterly instalments. AMPTC will use the funds to part-finance the acquisition of one new tanker and two second-hand tankers and refinance three of its existing tankers.