AUB secures $800m syndicated loan facility

The facility, signed on 5 September 2008 in London, United Kingdom, was very successful, with syndication closing substantially oversubscribed on an initial launch amount of $500m.

The deal received strong response from the market despite difficult conditions for funding due to the global credit crunch and market volatility.

28 banks from across the Middle East, Europe, North America and Asia participated in the facility.

The loan facility was arranged by Bayern LB, Commerzbank, Lloyds TSB Bank, Mizuho Corporate Bank and The Royal Bank of Scotland.

"We are extremely pleased by the response to the facility. The success of the syndication in difficult international market conditions is proof of AUB's reputation in the market and the confidence that the participating banks have in our strategies."

said Michael Collis, Senior Deputy Group CEO, Ahli United Bank.

Ahli United Bank B.S.C. (AUB or Group) announced a 40.5% rise in net profits for the first half of 2008 of $211.7m, as compared to the same period last year.

Operating income to 30 June 2008 stood at a record $461m (30 June 2007 - $313.1m).

As of 30 June 2008, the Group's total assets stood at $27bn, an increase of 17.4% over 31 December 2007, reflecting robust growth.

The growth was funded by an increase in customers' deposits by $3.2bn (+30%).

Inter-bank deposits as of 30 June 2008 rose to $7.4bn.