DUBAI: Qatar National Bank said on Wednesday it had secured a $3.5 billion three-year syndicated loan for general corporate purposes, one of the first such deals by a Qatari government-owned firm since a regional diplomatic crisis erupted.
The syndication, which comprised 21 international banks, comes as QNB seeks to secure new funding lines.
QNB said it had already repaid in full an earlier $3 bln syndicated loan. That facility, which matured this year, was originally signed in 2015.
The loan to refinance the previous debt was increased to $3.5 billion due to strong demand from the market, it said.
The deal was “a reflection of the strong demand by the top tier global banks that want to continue to partner with QNB,” said chief executive Ali Al-Kuwari.
QNB said the loan was fully underwritten by: Bank of America Merrill Lynch, the Bank of Tokyo-Mitsubishi UFJ, Barclays Bank, Deutsche Bank, Intesa Sanpaolo, Mizuho Bank, Standard Chartered Bank, Sumitomo Mitsui Banking Corporation, and United Overseas Bank.
HSBC, which was one of the mandated lead arrangers in the 2015 loan, was not among the underwriters this time. It has also turned down a leading role in Qatar’s new dollar bond, sources familiar with the decision told Reuters.
International banks are treading cautiously in order to maintain relations with both sides following June’s diplomatic rift, when Saudi Arabia, the United Arab Emirates, Bahrain and Egypt cut diplomatic and transport ties with Qatar.
Regional power Saudi Arabia is opening up to foreign investors as part of ambitious economic reforms driven by its new crown prince, Mohammed bin Salman, including the sale of a stake in oil giant Aramco. Its IPO could be worth $100 billion.
QNB has recently used various types of debt instruments, including Kangaroo and Formosa bonds, to refill its coffers in an effort to diversify funding resources amid the embargo imposed on Qatar by other Arab states.
The bank also recently priced a private note of $1 bln, which sources told Reuters this week that Bank of America Merrill Lynch. In addition, is raised $1.38 billion through a privately placed bond, a QNB spokesperson said on Tuesday.
Qatar National Bank secures $3.5 bln syndicated loan
Qatar National Bank secures $3.5 bln syndicated loan
Saudi Arabia opens 3rd round of Exploration Empowerment Program
RIYADH: Saudi Arabia’s Ministry of Industry and Mineral Resources, in collaboration with the Ministry of Investment, has opened applications for the third round of the Exploration Empowerment Program, part of ongoing efforts to accelerate mineral exploration in the Kingdom, reduce early-stage investment risks, and attract high-quality investment from local and international mining companies.
The third round of the Exploration Empowerment Program offers a comprehensive support package targeting exploration companies and mineral prospecting license holders.
The initiative aims to lower investment risks for projects and support a faster transition from prospecting to development.
"The program provides coverage of up to 70 percent of the total salaries of Saudi technical staff, such as geologists, during the first two years, increasing to 100 percent thereafter, in line with program requirements.
This support aims to develop talent, build national capabilities in mineral exploration, promote job localization, and facilitate the transfer of geological knowledge.
The application for the third round opened on Jan. 14, allowing participants to benefit from the Kingdom’s attractive investment environment, its stable legal framework, and streamlined regulatory structures, as well as integrated infrastructure that supports the transition from mineral resources to operational mines.
The ministry has set the timeline for the third round, with the application period running from Jan. 14 to March 31.
This will be followed by the evaluation, approval, and signing of agreements from April 1 to May 31, with the eligible projects set to be announced between June 1 and July 31 of the same year.
The program stages include submitting exploration data during the reimbursement and payment phase from Sept. 1 to Nov. 30, followed by technical and financial verification of work programs and approval of the disbursement of support funds in January 2027.
The exploration data will then be published on the National Geological Database in April 2027.
The ministry emphasized that the EEP focuses on supporting the exploration of strategically important minerals with national priority. It also contributes to enhancing geological knowledge by providing up-to-date data that meets international standards, helping investors make informed decisions and supporting the growth of national companies and local supply chains.
The ministry urged companies to apply early to benefit from the program’s third round, which coincided with the fifth edition of the International Mining Conference, which was held from Jan. 13 to 15.
