Noor Bank, Qatar Islamic Bank (QIB) and Kuwait’s Warba Bank have successfully closed a US$155mn shariah-compliant receivable-backed syndicated financing facility for a UAE-based Jafza entity.
The facility is a pioneering landmark transaction that enabled the obligor to successfully securitise its future receivables guaranteed by multinational oil and gas companies (MNOCs).
Noor Bank acted as lead arranger and bookrunner for the facility besides its role as the account bank, documentation bank, shariah coordinator, as well as investment and security agent. The facility was designed to refinance existing debt and finance the company’s future capital expenditure. QIB and Warba Bank acted as the other mandated lead arrangers (MLAs).
Hussain Al Qemzi, GCEO, Noor Investment Group, and CEO of Noor Bank, says: “Islamic financing is asset-backed, which delivers greater security to the obligor and financiers. We are pleased to have led the facility that allows us to support our obligor in achieving its financial goals. On the other hand, working with our partners, QIB and Warba Bank, has once again enabled us to benefit from the vast potential that the regional market holds. The synergy has also contributed to the development of a sustainable economic model and the growth of the Islamic economy within the Middle East.”
“The signing of this agreement confirms the bank’s strategy and commitment to providing innovative Islamic financial solutions that meet the requirements of regional corporate clients,” adds Bassel Gamal, group CEO, QIB. “This partnership between Noor Bank, QIB and Warba Bank is a testament of the strong co-operation between regional Islamic financial institutions to support strategic projects. This is another confirmation of our pioneering role in supporting the overall Islamic economy growth.”