DUBA (Reuters) – National Bank of Qatar QNBK.QA has closed syndication of its $ 3.5 billion double-tranche unsecured term loan, the Gulf’s largest lender said on Monday.
Sources told Reuters last month that QNB planned to raise the loan to refinance an existing $ 3.5 billion debt facility raised in 2017, which matures next month.
The loan consisted of $ 2 billion over three years and $ 1.5 billion over five years and will be used for general corporate purposes.
QNB said in a statement that it was well supported by 34 international banks.
Abdulla Mubarak al-Khalifa, CEO of QNB Group, said it was the largest five-year two-tranche syndication ever issued by a bank in the Middle East.
“This tranche has also piqued the interest of global banks and has helped us further expand our investor base. The show has been significantly oversubscribed which, despite the challenges of COVID-19, demonstrates our position as a high quality issuer, ”he said in the statement.
It was subscribed by HSBC HSBA.L, Mizuho 8411.T, Bank of America Merrill Lynch BAC.N, Barclay BARC.L , MUFG 8306.T, Maybank Kim Eng Securities MBKET.BK, Standard Chartered STAN.L, SMBC 8316.T and United Overseas Bank UOBH.SI.
JPMorgan Securities JPM.N and Intesa Sanpaolo FAI.MI joined the underwriters as initial mandated principal arrangers.
Reporting by Yousef Saba; edited by Louise Heavens and Jason Neely