Bank Sohar has closed a $250 million three-year syndicated loan facility in a move to extend financing solutions for Oman’s consumer and business segments.
The facility was raised part of the bank’s comprehensive asset growth strategy that has proven successful throughout 2018, with the bank’s results for H1 2018 demonstrating notable growth compared to the previous year, it said.
The facility was initially underwritten and pre-funded in by Bank ABC and Emirates NBD Capital Limited before being joined by a general syndication that closed with 11 banks participating from around the world.
Bank Sohar CEO Ahmed Al Musalmi said: “The new finance facility enhances the bank's long-term liquidity, as well as extending its liabilities structure and maturity profile. The loan enables Bank Sohar in the development medium and long-term asset portfolio and thus comprises an integral part of our growth strategy as Oman’s fastest growing bank. The syndication further provides an opportunity for the bank to diversify its funding sources across different currencies and create a window for entry into partnerships across the international market.”
Al Musalmi added: “The success of our syndicated loan facility has been delivered in less than favourable market conditions that usually dictate limitation, not opportunities for international collaboration. This aptly reflects the status of Bank Sohar and the confidence held by both regional and international banks. We are pleased to partner with Bank ABC and Emirates NBD, who have supported Bank Sohar in gaining a wider range of participants, as well as other lenders who participated in arranging this facility and help pave the way for a broader range of future partnerships.”