NBAD and BTMU conclude Dhs2.3bn financing for IPIC

NBAD and BTMU acted as mandated lead arrangers, NBAD acted as facility agent and BTMU as documentation bank.

Cosmo Oil is a leading Japanese oil refinery and sales conglomerate, listed on the Tokyo Stock Exchange. IPIC signed a strategic partnership with it last year to acquire 176,000,000 shares (a 20% shareholding) in order to promote its energy business in the Asia Pacific region and the US West Coast as well as to pursue joint project opportunities.

The deal will enable Cosmo Oil to carry out its mid and long term growth strategy as it plans to upgrade the supply chain system, strengthen exploration and production, develop export sales, upgrade refineries and work closely with energy companies which have close relationships with IPIC.

'At IPIC, we are keen on selecting only the best in class partners. We are proud to be cooperating with NBAD and the Bank of Tokyo-Mitsubishi UFJ, Ltd., highly reputable banks with strong track records,'

said Mr. Khadem Al Qubaisi, Managing Director of International Petroleum Investment Company.

'We are extremely pleased with the professional approach of the Corporate Banking Group of National Bank of Abu Dhabi and the Bank of Tokyo-Mitsubishi UFJ, Ltd. while handling this deal, a matter which reflects their strong track record and long experience in deals of this nature,' he added.

'This acquisition forms part of IPIC's investment diversification plans, mapped out under the supervision of H.H. Sheikh Mansour Bin Zayed Al Nahyan, Minister of Presidential Affairs and Chairman of IPIC. The partnership with a leading global player such as Cosmo Oil will allow both companies to pursue investment opportunities in this rapidly expanding sector' Al Qubaisi explained.

'NBAD is proud to play a significant role in financing the expansion plans of International Petroleum Investment Company especially this acquisition deal as it caters to the high demand in the energy sector and underpins the UAE's company's presence worldwide,'

said Mr. Akram Mark Yassin, Senior General Manager of NBAD's Corporate & Investment Banking Division.

'This agreement comes to reflect the fact that NBAD is well-positioned to take advantage of the massive growth opportunities and our firm commitment to play a significant part in the economic development of the UAE,' he added.

'It also reflects NBAD's strong relationships and cooperation with leading companies such as International Petroleum Investment Company. We appreciate our business partners who are eager to strengthen the development of the UAE,' Senior General Manager of NBAD's Corporate & Investment Banking Division explained.

'Since its inception in 1968, NBAD remains committed to underpin the development of the nation and finance various sectors to strengthen the UAE economy in cooperation with our distinguished business partners,'

said Mr. Abdulla Bin Khalaf Al Otaiba, Head of Corporate Banking Group & Deputy Senior General Manager of NBAD's Domestic Banking Division.

'IPIC and NBAD share business values and positive outlook for economic development of the UAE and we have a long and strong business partnership,' he added.

'NBAD's outstanding loans for the energy sector increased to Dhs8.3bn by the end of 2007 compared to Dhs5.5bn in 2006. This shows 'The Number One Bank in the UAE' strives to keep pace with the development of the UAE and plays a major role in building the country,' Mr. Al Otaiba concluded.

Mr. Raouf Jundi, Head of Origination, Bank of Tokyo-Mitsubishi UFJ commented: 'This represents the second financing concluded with IPIC this year and reflects the high regard that BTMU has for IPIC and its strong and reputable management. BTMU is proud to be supporting IPIC and the Abu Dhabi Government in the further expansion and diversification of the Emirates economic base.'