National Bank of Kuwait (NBK) and Boubyan Bank led a coalition of five banks to arrange a KD48 million ($175 million) syndicated loan for Al-Khorayef Group.

NBK and Boubyan had been mandated by Al-Khorayef Group, a leading Saudi group, to arrange banking facilities of KD 48 million comprised of Islamic and Conventional tranches spread equally. The final maturity date of the syndicated loan is December 2017. NBK is the mandated lead arranger, intercreditor agent, security agent, account bank, performance Bond bank, advance payment guarantee issuing bank, and the letter of credit issuing bank. Boubyan is the Islamic Agent Bank.

“Following lead roles played by NBK in project finance deals such as Equate and KPPC, this mandate is yet another testament of NBK’s professionalism and credibility in the market place,” said Shaikha Khalid Al-Bahar, NBK Kuwait chief executive.

Al-Khorayef Group Company was awarded a contract by Kuwait Oil Company for the construction of New Gathering Center 16 in West Kuwait. The syndicated loan aims to finance this project.

In addition to NBK and Boubyan, the coalition consists of two conventional banks: Qatar National Bank and Bank Muscat, and one Islamic bank: Al-Ahli United Bank.

Norton Rose Group, Shaw Consultants International, DLA Piper, and Al Tamimi & Company International acted as the legal and technical advisors on this deal.-TradeArabia News Service