Turkey’s Ziraat Bank (Ziraat Katilim Bankasi A.S.) has appointed banks to arrange a $150 million syndicated dual currency Murabahah financing facility.
The lender appointed Bank ABC, Dubai Islamic Bank as well as Emirates NBD Capital, Standard Chartered Bank and Warba Bank as lead arrangers and bookrunners for the financing facility.
The Facility has been structured as a Shari’a compliant Murabaha facility with a one-year and two-days tenor with a green-shoe option to increase the Facility size. The Facility will be denominated in US$ and EUR and the proceeds from the Facility will be used for general funding purposes.
Syndication was launched on 4th March 2019 and is expected to close in early April 2019. Bank ABC was also appointed as the coordinator to the facility.
Ziraat Katilim was founded by the decision of the Banking Regulation and Supervision Agency (“BRSA”) dated 10 October 2014 with an initial capital of TRY 675 million fully paid by the Turkish Treasury.
The Bank commenced its operations by opening its first branch on 29 May 2015. Its head office is located in Istanbul. Following to its latest capital injection (on 23 October 2018), the paid up capital of Ziraat Katilim has reached TRY 1,750 million.
Ziraat Katilim is the first state owned participation bank in Turkey. As of the year end 2018, Ziraat Katilim has 80 branches across the country and it has 1,042 staff. In 2019 and 2020 the Bank plans to open 20 branches more in each year which will bring its number of branches to 120 by the end of 2020.
Source Islamic Business&Finance