The $1 billion million Syndicated Term Loan Facility for Arab Banking Corporation (ABC) has been successfully closed.

ABN AMRO Bank NV, Arab Bank, The Bank of Tokyo-Mitsubishi UFJ, Ltd., Barclays Capital (the investment banking division of Barclays Bank PLC, 'Barclays Capital'), Bayerische Landesbank (BayernLB), BNP Paribas, CALYON, Commerzbank Aktiengesellschaft 'Commerzbank'), HSBC Bank Middle East Limited ('HSBC'), ING Wholesale Banking, Mizuho Corporate Bank Ltd, National Bank of Abu Dhabi, Natixis, Raiffeisen Zentralbank Österreich Aktiengesellschaft, Standard Chartered, Sumitomo Mitsui Banking Corporation ('SMBC') and WestLB AG, London Branch (the 'Mandated Lead Arrangers') are part of the syndication.

Barclays Capital, BNP Paribas, HSBC, ING Bank NV and Standard Chartered are Bookrunners on this facility. SMBC is Facility Agent and Commerzbank is Documentation Agent.

The Facility is for general funding purposes including refinancing. The five-year term loan pays a margin of 0.25 per cent per annum over LIBOR.

The syndication, which was launched on May 16, 2007, closed significantly oversubscribed. Despite the oversubscription, the Borrower has elected not to increase the Facility amount.

Signing of the facility agreement took place in London.

'We are delighted by the success of this syndication. This is one of the largest ever syndicated financings for a Gulf-based financial institution and the interest margin is among the lowest achieved for a five year financing,' said deputy chief executive and chief banking officer of Arab Banking Corporation Abdulmagid Breish.

'We are extremely proud of the strong support received from the bank market with the syndicate represented by leading institutions from Europe, North America, Asia and the Middle East,' he added.

ABC is a leading Arab international bank, headquartered in the Kingdom of Bahrain. It was incorporated in Bahrain pursuant to Amiri Decree Law in 1980.

ABC's strategy of diversified growth led to the development of its widespread network of branches, representative offices, subsidiaries and affiliates in 21 countries around the world, including most principal international financial centres.

ABC's shares are listed on the Bahrain stock exchange and as at 31 December 2006, ABC had a total asset base of $22.4 billion.

ABC has a long term bank deposit rating of A3 by Moody's with a stable outlook. The bank has a long term foreign currency rating of BBB+ by S&P with a stable outlook.Trade Arabia News Service