Bank of China contributes to a $1 billion USD syndicated loan to Abu Dhabi Commercial Bank for unspecified purposes

Project narrative

In October 2005, a syndicate of 37 banks — including the Bank of China (BOC) — signed a $1 billion USD syndicated term loan agreement with Abu Dhabi Commercial Bank PJSC (ADCB) — an Emirati bank publicly traded by majority owned by the Government of Abu Dhabi's Abu Dhabi Investment Authority (64.841% stake as of 2005) — for unspecified purposes. This loan carried a maturity period of three years with two one-year extension options, with interest payable quarterly in arrears, and an interest rate of 3-month LIBOR plus a margin of 27.5 basis points (bps). This was ADCB's debut loan and the largest ever loan for a Middle Eastern financial institution at the time and with the tightest margin. In addition to BOC, the following lenders contributed to the loan syndicate: Bank of America, Calyon, Deutsche Bank, JPMorgan Chase Bank, N.A., Sanpaolo IMI S.p.A., Bayerische Landesbank (BayernLB), BNP Paribas S.A., Commerzbank AG, DB Bank, Dresdner Bank, DZ Bank AG, HSH Nordbank AG, HypoVereinsbank (HVB), ING Group N.V., Lloyds TSB Bank, Mizuho Bank, Natexis Banques Populaires, Qatar National Bank (QNB), Raiffeisen Zentralbank Österreich A.G. (RZB), Société Générale Corporate & Investment Bank (SGCIB), Standard Chartered Bank PLC, Sumitomo Mitsui Banking Corporation (SMBC), Wachovia Bank, N.A., WestLB AG, Bank of New York, Banca Monte dei Paschi di Siena (BMPS), Anglo Irish Bank plc, Arab International Bank (AIB), Banca Nazionale del Lavoro, Banco Popolare di Verona e Novara, Citigroup, Fortis Bank, MO Financial Group, Oberbank AG, Sampo Bank, and Union de Banques Arabes et Francaises (UBAF). Bank of America, Calyon, Deutsche Bank, and JPMorgan served as the initial mandated lead arrangers and bookrunners. Sanpaolo IMI served as an initial mandated lead arranger. BayernLB, BNP Paribas, Commerzbank, DB Bank, Dresdner Bank, DZ Bank, HSH Nordbank, HVB, ING, Lloyds TSB, Mizuho, Natexis Banques Populaires, QNB, RZB, SGCIB, Standard Chartered, SMBC, Wachovia, and WestLB served as mandated lead arrangers. BOC and Bank of New York served as arrangers. BMPS served as co-arranger. Anglo Irish Bank, AIB, Banca Nazionale del Lavoro, Banco Popolare di Verona e Novara, Citigroup, Fortis Bank, BMO Financial Group, Oberbank, Sampo Bank, and UBAF served as senior lead managers. The loan was launched into syndication at $750 million USD and raised $1.2 billion USD in oversubscription when four tickets were on offer $40 million USD for a feee of 27.5 bps, $25 million USD for 20 bps, $15 million USD for 15 bps, and $10 million USD for 12.5 bps.