United Gulf (UGB) as borrower has raised a US$100mn three-year mudaraba restricted with revolving commodity murabaha facility.

The transaction attracted a considerable amount of oversubscription and the borrower increased the facility amount to US$175mn.

United Gulf Bank, the investment banking arm of the Kuwait Projects Company group, is quoted on the Kuwait and Bahrain Stock Exchanges and has a long-term rating of BBB from Capital Intelligence.

There will be a bullet repayment, while the margin is 100bp over Libor.

The mandated lead arrangers and underwriters of the facility are Abu Dhabi Islamic Bank, Bawag, Standard Bank Plc and WestLB AG, London.

They were joined in general syndication by Burgan Bank and Finansbank (Holland) as senior arrangers, HypoVereinsbank, Mashreqbank, RZB and Sumitomo Mitsui Banking Corporation Europe as arrangers with Bumiputra-Commerce Bank, Bank Sepah International, Dubai Bank, Export-Import Bank of the Republic of China, Persia International Bank and UBAE Arab Italian Bank joining as lead managers.