Ittihad secures $450mln sustainability-linked RCF
Deal News | Feb 10, 2025 | Zawya
Abu Dhabi-based Ittihad International Investment has successfully secured a $450 million sustainability-linked revolving credit facility (RCF) with several local banks. The transaction was arranged by Emirates NBD, Commercial Bank of Dubai, and First Abu Dhabi Bank in coordination with Abu Dhabi Commercial Bank, Abu Dhabi Islamic Bank, and Emirates Islamic. The five-year facility, structured with two tranches, is aimed at providing substantial financial flexibility and improving the company's credit rating. The first tranche of $225 million is designated for general corporate purposes and the replacement of an existing standby RCF, while the second tranche addresses working capital needs at the subsidiary level. Ittihad, a significant player with a diverse portfolio in industries such as industrial manufacturing and infrastructure, underscores its commitment to sustainability and financial efficiency through this strategic financial maneuver.
Sectors
- Finance
- Investment Management
- Sustainability
Geography
- United Arab Emirates – Ittihad International Investment and the local banks involved are based in the UAE.
Industry
- Finance – The article focuses on a revolving credit facility, which is a financial product offered by banks.
- Investment Management – Ittihad International Investment operates within the investment management space, making it relevant to the article.
- Sustainability – The credit facility is specifically sustainability-linked, connecting it to the sustainability sector.
Financials
- $450 million – The amount of the sustainability-linked revolving credit facility secured by Ittihad International Investment.
- $1.4 billion – The current value of Ittihad International Investment's portfolio.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Ittihad International Investment | Target Company | Company | A private investment conglomerate based in Abu Dhabi with diverse interests across various sectors. |
| Emirates NBD | Mandated Lead Arranger & Bookrunner | Company | A leading bank in the UAE involved in arranging the credit facility. |
| Commercial Bank of Dubai | Mandated Lead Arranger & Bookrunner | Company | A major UAE bank serving as one of the arrangers for the credit facility. |
| First Abu Dhabi Bank | Mandated Lead Arranger & Bookrunner | Company | One of the leading financial institutions in the UAE facilitating the credit arrangement. |
| Abu Dhabi Commercial Bank | Joint Arranger | Company | One of the joint arrangers of the credit facility. |
| Abu Dhabi Islamic Bank | Joint Arranger | Company | A significant bank in the UAE involved as a joint arranger. |
| Emirates Islamic | Joint Arranger | Company | Another significant bank involved as a joint arranger. |
| Zahi Abu Hamze | CFO | Person | Chief Financial Officer at Ittihad International Investment. |