Abu Dhabi, UAE: Abu Dhabi Islamic Bank (ADIB), a leading Islamic financial institution, announced the successful closure of a sharia compliant syndicated transaction totaling AED 865 million (USD 235 million) for BGN and Al Seer Marine to finance new and energy - efficient gas carriers. This financing marks the second tranche of a larger syndication amounting to USD 370 million, which will be used to finance the construction of three state-of-the-art Very Large Gas Carriers (VLGCs) in South Korea and Japan.

ADIB acted was as the Mandated Lead Arranger, Coordinator, Bookrunner, Shari’a Advisor, Investment and Security Agent on the deal, and was supported by several mandated arrangers specialized in the maritime and energy sectors including Abu Dhabi Commercial Bank (ADCB), National Bank of Fujairah (NBF), Commercial Bank of Dubai (CBD), and a strategic partner from KSA The Islamic Corporation for the Development of the Private Sector (ICD), a multilateral development financial institution and the private sector arm of Islamic Development Bank (IsDB) Group. The documentation and coordination of the transaction were handled by leading global law firms Dentons, as the Syndicate’s Legal Counsel, and Holman Fenwick Willan (HFW) as the Company’s Legal Counsel.

The financing, conducted through ABGC, a joint venture between energy and commodities trader BGN and Al Seer Marine, will facilitate the construction of three new energy-efficient VLGCs, with two vessels slated for delivery in 2025 and the third vessel expected in 2026. The vessels will be dual-fuel efficient, and will enjoy operational, economic and environmental efficiencies through their Liquefied Petroleum Gas (LPG) engines. LPG engine technology is a step towards zero-carbon propulsion of vessels and the shipping industry achieving its ambitious greenhouse gas emission reduction goals.

Mohammed Ali AlFahim, Acting Global Head of Wholesale Banking at ADIB, commented: "We are delighted to lead this syndication, which underscores our commitment to supporting strategic initiatives that promote sustainable development and innovation in the maritime sector. The completion of these VLGC vessels will not only enhance the UAE's maritime position but also contribute to the nation's role as a critical maritime hub on the global stage and will contribute to decarbonization efforts in the marine industry." 

Nitin Mathur, Head of Commercial Maritime Management at Al Seer Marine, said: "This landmark deal underscores Al Seer Marine’s leadership and vision in the maritime sector. Through the closure of the syndicated financing for ABGC and our strategic partnership with BGN, our position as a leading commercial vessel owner is being realized. This success showcases the increasing confidence and willingness of local and regional banks to invest in the commercial marine sector, reflecting positively on our financial health and prospects."

Ozan Turgut, Head of Shipping at BGN, emphasized the trader’s long-term commitment to developing and maintaining a modern fleet to support its global physical trading platform.: "We are growing our logistics capability to create much-needed capacity for our traders who continue to supply the world with transitional fuels such as LPG (liquefied petroleum gas), ammonia and other commodities. We are proud to have collaborated closely with Al Seer Marine, our banking partners in the GCC region, and legal partners Dentons and HFW to bring this syndicate to completion. This collaboration highlights the power of partnership in achieving complex financial arrangements and reflects the UAE's pivotal role as an energy, maritime, and financing hub."

The vessels, equipped with cutting-edge technology and superior emissions performance features, will help to advance the global energy transition and will significantly contribute to enhancing the UAE's maritime position.

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About ADIB

ADIB is a leading bank in the UAE with AED 193 billion in assets. The bank also offers world-class online, mobile and phone banking services, providing clients with seamless digital access to their accounts 24 hours a day.

ADIB provides Retail, Corporate, Business, Private Banking and Wealth Management Solutions. The bank was established in 1997 and its shares are traded on the Abu Dhabi Securities Exchange (ADX).

ADIB has a strong presence in six strategic markets: Egypt, where it has 70 branches, the Kingdom of Saudi Arabia, the United Kingdom, Qatar, and Iraq.

Named World’s Best Islamic Bank by The Financial Times - The Banker publication, ADIB has a rich track record of innovation, including introducing the award-winning Ghina savings account, award-winning co-branded cards with Emirates airlines, Etihad and Etisalat and a wide range of financing products.

For media information, please visit www.adib.ae or contact:
ADIB                                                                              Edelman 
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About BGN 

Sourcing energy for a sustainable future 

BGN is a growing, partnership-based international trading business, covering multiple energy products, transition fuels including LPG (liquefied petroleum gas), other commodities such as minerals, and carbon credits. 

The company has offices in Geneva and Dubai, as well as in Casablanca, Doha, Houston, Rotterdam and Singapore. 

Worldwide, BGN companies employ close to 700 people at 23 locations around the world.  

Building on its 80-year heritage, BGN continues to expand and today moves about 50 million tons of commodities annually for a significant double-digit billion-dollar turnover. Its operations span 120 countries worldwide. 

BGN has a multi-generational approach and aims to move goods that have a net positive impact on society. It helps to ensure energy security for populations and industries around the world, while supporting a viable and just energy transition towards a lower-carbon economy. 

The company is strengthening distribution networks for transition fuels, deploying investment into renewables and mobilizing finance for nature-based and other carbon removal projects.  

It continues to develop its LPG platform, reinforcing its position among the world’s largest movers of this important transition fuel, and has a growing fleet of newbuild, efficient ships that can carry liquid gas or ammonia. 

BGN’s climate advisory business develops carbon credits from renewable energy, forestry and other carbon reduction and removal initiatives. It took part in one of the largest Voluntary Carbon Market transactions of 2023 and is targeting 100 million tons of carbon credits by 2030. 

Meanwhile, a separate investments unit sources projects across the energy spectrum, from abated fossil fuels and flare-gas-to-electricity generation to renewables. It expects to generate at least 1 gigawatt of renewable energy and to deploy at least US$1 billion of investment in renewables by 2030. 

For further information, please visit www.bgn-int.com. 
Journalists may contact mediabgn@bgn-int.com.