Bank of London and The Middle East (BLME), the largest Islamic bank in Europe, said it has sealed a key Murabaha financing agreement for UK-based Greenergy Biofuels Limited.

Greenergy is a major supplier of petrol and diesel to oil companies, supermarkets, bus and haulage
companies, primarily in Britain.

BLME, whose main shareholders are Boubyan Bank and the Kuwaiti Public Institution for Social Security, acted as the lead arranger for the transaction along with a Qatari-based bank having equal stakes.

The facility is secured against the assets of a biodiesel plant in Immingham, Humberside, UK.

Massoud Janekeh, the head of BLME Capital Markets, said: “This was a complex deal in which BLME’s strong relationships with GCC and UK financial institutions were invaluable. The deal clearly demonstrates the versatility of Islamic finance, as well as the appetite of the Middle Eastern banks for investment in the UK energy sector.”

I am pleased to have BLME as a new financing arranger for Greenergy and delighted by successful funding under our Murabaha financing agreement," remarked Jitesh Sodha, Greenergy chief financial officer.

"We continue to progress new investment and growth opportunities, and on this path we look forward to developing further our banking relationships," he added.-TradeArabia News Service