ABU DHABI: National Bank of Abu Dhabi (NBAD), the UAE’s largest lender by assets, has successfully closed the syndication of its $2 billion club loan facility with a large oversubscription. Commitments of nearly $3 billion were received in syndication from 14 major international banks across Europe, Asia and the United States, the bank said in a statement. It added that NBAD will not be increasing the facility size and banks’ commitments have been scaled back.
“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. Reuters reported last month that the bank aimed to complete the loan, aimed at refinancing existing bilateral debt and provide new funding, by the second week of December.
On Oct. 27 NBAD said raising the money would help consolidate its banking relationships ahead of its planned merger with First Gulf Bank. The merger will create one of the largest banks by assets in the Middle East and Africa when completed in the first quarter of 2017.
