Commercial Bank of Qatar (QSC) has mandated ABN AMRO, Arab Banking Corporation, Bank of Tokyo-Mitsubishi UFJ, Barclays Capital, Bayerische Landesbank, BNP Paribas, Citibank London, Commerzbank, Gulf International Bank, Natixis, RZB and Sanpaolo IMI Bank Ireland, to arrange a US$500mn term loan facility.
The facility, which will have a tenor of five years and a margin of 27.5bp over Libor, will be for general purposes funding, including the refinancing of short-term loans repaid in January 2007.
The transaction has been launched into general syndication. The bookrunners are Arab Banking Corporation, Bank of Tokyo-Mitsubishi UFJ, Bayerische Landesbank and BNP Paribas.
The facility agent is Gulf International Bank.
The facility, which has been underwritten by the mandated lead arrangers, will be fully funded prior to the close of general syndication.
Established in 1975, QSC was the first wholly privately-owned commercial bank in Qatar. Initially capitalised at QR10mn (US$2.74mn), it has grown and prospered over the years to become an important regional bank with capital and reserves of over QR3.50bn (US$960mn) and a total assets of QR25bn (US$6.86bn) as at June 30, 2006. Since its foundation, it has been profitable in every year and has paid dividends annually.
The bank offers a comprehensive range of corporate, retail and investment services through a network of 23 branches as well as through sales offices/pavilions, ATMs, deposit machines, internet home banking and the largest EFTPOS network in the country.
The bank has played an active role in support of government strategy for the industrial development of Qatar. It has participated in the financing of all major projects in Qatar to date.
Listed on the Doha Securities Market, the bank currently has long-term foreign currency ratings of A- from Standard & Poor’s, A1 from Moody’s and A from Fitch.