Azernews.Az

By Nazrin Gadimova

The International Bank of Azerbaijan has signed a $160 million dual currency syndicated term loan facility, with tranches of $48 million and 81 million euro.

The facility has a term of 1-year, the bank reported.

The IBA said it mandated Amsterdam Trade Bank N.V., Citibank, N.A., London (Citi), Commerzbank Aktiengesellschaft (Commerzbank), ING Bank N.V., J.P. Morgan Limited and Raiffeisen Bank International AG (RBI), the Bookrunners and Initial Mandated Lead Arrangers to arrange a $125 million equivalent Dual Currency Syndicated Term Loan Facility. Citi was appointed as Coordinator for the Facility.

The facility launched at $125 million and attracted over $35 million equivalent in commitments during syndication, a 28% over-subscription resulting in an upsizing of the facility. The strong support for this facility demonstrates the growing confidence and trust international investors place in the Azeri banking system and particularly in IBA, the largest bank of the country.

The proceeds will be used for general corporate purposes.

The IBA`s assets increased by 21.7 percent up to 7.172 billion manats by January 1, 2014. The IBA loan portfolio increased by 30.5 percent to make 5.033 billion manats.

The IBA, established in 1992 as a successor of the Azerbaijani branch of Vnesheconombank, holds a leading position in the domestic banking sector. The main shareholder of the bank is the Azerbaijani government, which holds a 50.2 percent stake, and 49.8 percent is owned by private individuals and legal entities.