MTC Secured $4 Billion Loan Facility

Kuwait's MTC says that it has signed the general syndication agreement for the US$ 4 billion credit facility that will be used to fund MTC's future acquisitions and general corporate needs. The credit facility was fully underwritten by BNP Paribas, Calyon, Credit Suisse, and UBS who all acted as Joint Mandated Lead Arrangers and Bookrunners. NBK Capital the investment and merchant banking subsidiary of National Bank of Kuwait acted as financial advisor on the transaction.

The credit facility is the largest syndicated facility for a private sector company in the Middle East.

In addition to the Bookrunners, eight banks and financial institutions joined the general syndication at the Mandated Lead Arranger level each with a commitment of at least US$200 million, eight banks and financial institutions joined at Lead Arranger level each with a commitment of US$100 million, and five banks and financial institutions joined at the Arranger level each with a commitment of US$50 million, and fourteen banks and financial institutions joined at the Co-Arranger level each with a commitment of US$35 million or less.

Allen & Overy acted as legal adviser to the syndicate of banks, while Cleary Gottlieb Steen & Hamilton acted as legal advisor to MTC."

Posted to the site on 27th July 2006