The Banking Executive Magazine - July 2024 Issue

NBE NBE SECURES $1 BILLION SYNDICATED LOAN The National Bank of Egypt S.A.E. (NBE) has successfully secured a $1 billion senior unsecured syndicated term loan facility. Emirates NBD Capital, Mashreqbank PSC, and Firstrand Bank's Rand Mer- chant Bank division served as the global coordinators for this transac- tion. Emirates NBD Capital also took on the role of syndication agent, while Mashreqbank PSC acted as the documentation agent, and First Abu Dhabi Bank PJSC was appointed as the facility agent. The initial mandated lead arrangers and bookrunners (IMLABs) included Abu Dhabi Commercial Bank PJSC, Abu Dhabi Commercial Bank – Egypt, Africa Finance Corporation, Al Ahli Bank Of Kuwait K.S.C.P. (DIFC Branch), Arab Banking Corporation (B.S.C.), Emirates NBD Capital, First Abu Dhabi Bank PJSC, Firstrand Bank (via its Rand Merchant Bank di- vision), HSBC Bank Middle East, Mashreqbank PSC, National Bank of Kuwait S.A.K.P, Bahrain Branch, Standard Chartered Bank, and The Mauritius Commercial Bank. Addi- tionally, Commerzbank Aktienge- sellschaft, Doha Bank Q.P.S.C., Eastern and Southern African Trade and Development Bank, Sumitomo Mitsui Banking Corporation - DIFC Branch, Dubai, The National Bank of Ras Al-Khaimah (P.S.C), and The Standard Bank of South Africa partic- ipated as the mandated lead arrangers and bookrunners (MLABs). This facility is intended to support NBE's general corporate funding needs and trade finance activities. Despite the volatile market condi- tions driven by geopolitical uncer- tainties, the transaction garnered substantial interest. The facility at- tracted strong global demand from 19 institutions across Western Eu- rope, Asia, Africa, and the Middle East, resulting in a 1.7 times oversub- scription from the original launch amount of $750 million. Leveraging the green shoe option, NBE scaled up the transaction to $1 billion. The deal's success underscores NBE's robust banking relationships and creditworthiness, reflecting the market's confidence in the Egyptian economy. NBE highlighted that the 1.7 times oversubscription demonstrates the international community's positive perception of NBE’s stable financial standing and its critical role in sup- porting the overall economy. The diverse participation of interna- tional banks in this transaction show- cases NBE's extensive global relationships and its strategy of main- taining diversified funding sources. "We extend our heartfelt gratitude to our coordinators for orchestrating this milestone transaction and to our financing partners for their unwaver- ing commitment to NBE," the bank stated. the BANKING EXECUTIVE 18 ISSUE 187 JULY 2024