- Regional banks and their overseas affiliates may participate through the “accordion” feature
Abu Dhabi – Abu Dhabi Exports Office (ADEX), the export financing arm of Abu Dhabi Fund for Development (ADFD), and its strategic partners in the banking field Mashreq and Abu Dhabi Commercial Bank (ADCB), have signed a financing facility with the global energy and commodities trading company BGN. The strategic collaboration sets the stage for a financing arrangement, offering up to US$100 million to facilitate the export of energy commodities from the UAE.
The syndicated financing arrangement, which is a revolving credit line, is embedded with an accordion feature whereby regional banks and their overseas affiliates can contribute additional funding.
The agreement was signed by Khalil Al Mansoori, Acting Director General of the Abu Dhabi Exports Office; Rüya Bayegan, Group CEO of BGN; Asif Karmally, Executive Head of International Corporate Banking at ADCB; and Joel Van Dusen, Senior Executive Vice President and Group Head of Corporate and Investment Banking Group of Mashreqbank. The event was witnessed by His Excellency Mohamed Saif Al Suwaidi, Director General of ADFD and Chairman of the Exports Executive Committee of the Abu Dhabi Exports Office; Abdulla AlShamsi, Chief Business Officer of ADCB Group; as well as other senior officials from ADEX, BGN, ADCB and Mashreqbank.
His Excellency Mohamed Saif Al Suwaidi, Director General of ADFD and Chairman of the Exports Executive Committee of ADEX, said: “This initiative reflects our commitment to strengthening the UAE’s export sector through collaborative efforts and partnering with local banks such as ADCB and Mashreq to support local businesses in their expansion efforts worldwide. ADEX believes in partnering with banks and other financial institutions towards a common goal, which is rooted in the understanding that collective efforts produce results. Our collaboration with BGN is part of our endeavor to create opportunities for establishments that contribute significantly to our national economy.”
He highlighted the potential of the UAE’s advanced energy sector saying that expansion in export volumes in this domain can significantly boost the economy.
Yannick Luce, Chief Financial Officer of BGN, said: “We are pleased to collaborate with ADEX, and with leading banks in the UAE, to assist the country with the strategic export of energy and other commodities to global markets. As BGN continues to grow and diversify its trading activity across various commodity classes and geographies, so our financing needs will continue to expand and evolve. This new up to USD$100m syndicated revolving credit facility will complement our existing strong liquidity base and healthy banking relationships across the Middle East, Asia, North America, Europe and Africa. ”
Eng. Abdulla Al Shamsi, Group Chief Business Officer at ADCB said: “As a leading banking institution in the UAE, ADCB is proud to be working alongside partners such as ADEX to facilitate the export of UAE commodities around the world. Through this deal, we are pleased to be able to provide BGN with financing solutions to expand their global reach across a range of commodity classes. ADCB’s commodity franchise has grown significantly over the last four years; we are looking forward to building on this momentum by deepening our partnership with ADEX and, in doing so, further strengthening the UAE’s export sector.”
Joel Van Dusen, Group Head of Corporate and Investment Banking Group of Mashreq, said: “As Mashreq, we are pleased to support BGN’s growth story and expansion in the UAE through the delivery of this multi-institution financing package, the first for BGN in the region. We are also proud to partner with ADEX in support of the strategic objective of UAE’s economic diversification and strengthen UAE’s position as a global leader in the Trade, Energy and Commodities”
This strategic collaboration marks a step forward in ADEX’s efforts to strengthen the UAE’s position in the global energy and commodities market and reinforces the commitment of the organization and its contributing partners to driving economic growth through strategic partnerships for financial support.
Established by the Abu Dhabi Fund for Development (ADFD) in 2019, the Abu Dhabi Exports Office (ADEX) offers financing solutions to Emirati exporters to help increase the country’s export volume and promote UAE export business in the global markets. ADEX’s mandate includes providing credit facilities to overseas buyers and importers via direct and indirect loans and guarantees, thereby enhancing the export sector’s pivotal economic role and promoting its global competitiveness. This is in line with the UAE’s economic diversification strategy. The entity also seeks to expand the range of locally made exported goods and services, being among the main pillars of the country’s sustainable development. To learn more about our services and solutions, please visit our website or get in touch via
BGN is a fast-growing, partnership-based international trading company covering multiple energy products, transition fuels, carbon credits and other commodities. The company has offices in key hubs such as Dubai, Geneva, Houston, Rotterdam and Singapore, and counts more than 500 staff at its 23 locations around the world. For further information, please visit www.bgn-int.com.
Giles Broom, Global Head of Communications
Mashreq is more than half century old bank, yet proudly thinks like a challenger, startup, and innovator. Mashreq pioneered key innovations and developments in banking, starting with entry-level digital-first customers, all the way to powering some of the region’s most prominent corporations and wealth accounts.
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