Banque Misr finalises largest syndicated loan worth $1bln

The state-owned bank initially planned to refinance the existing $550 million syndicated loan signed in 2018; however, the bank received about $1.2 billion in orders, about 200% of the initial targeted amount, prompting Banque Misr to increase the facility value and close the syndication at $1 billion with a final roll-over ratio of 181%.

The bank received orders from 22 banks from 11 countries with 12 new banks from the US, Europe, Middle East, and Asia, which were not involved in the last facility.

The three-year loan will help diversify the bank’s funding profile and refinance the existing facility.

The Chairman of Banque Misr, Mohamed El-Etreby, said, “The syndication’s outcome demonstrates the financial resiliency of BM’s and its recognition as an empowering arm to restore the macroeconomic stability and in upholding to the economic reforms in an expanding market even during 2021 turbulent conditions.”

Emirates NBD Capital Limited (EmCap) acted as a syndicated agent and Mashreq Bank psc acted as a documentation agent, while First Abu Dhabi Bank PJSC was the facility agent.

EmCap, Mashreqbank, Al Ahli Bank of Kuwait, Arab Banking Corporation, Citibank, First Abu Dhabi Bank, Gulf International Bank, Industrial and Commercial Bank of China, The Mauritius Commercial Bank, National Bank of Kuwait, Standard Chartered Bank, Sumitomo Mitsui Banking Corporation acted as initial mandated lead arrangers and bookrunners and HSBC acted as the lead arranger on the transaction.

In addition, the National Bank of Ras Al Khaimah and The Saudi British Bank joined the transaction as mandated lead arrangers and bookrunners, Gulf Bank KSCP joined as a mandated lead arranger and AfrAsia Bank, Commerzbank Aktiengesellschaft, Filiale Luxemburg, Habib Bank Limited, Misr Bank-Europe GmbH, United Arab Bank, and United Bank Limited joined the facility as the arrangers.