ADIB Finances JBF RAK LLC's Expansion with AED 275 million

ADIB Finances JBF RAK LLC’s Expansion with AED 275 million

Abu Dhabi, 07 February 2012 – Abu Dhabi Islamic Bank (ADIB), a top-tier Islamic financial services institution, announced today that it had closed a AED 275 million (USD 75M) syndicated Islamic financing facility for JBF RAK LLC (JBF RAK), a subsidiary of JBF Industries.

This marks the debut Islamic finance facility for JBF RAK, a specialist polymer manufacturer focused on PET polymer resin chips (chips) and BOPET film products (films). It is a leader in the Middle East region with a market share of over 20% in chips and film products.

The financing will be used to expand JBF RAK production in Ras Al Khaimah including the purchase of new machinery and equipment and to optimize its debt profile by introducing Islamic term funding.

JBF RAK is a subsidiary of JBF Industries, a global industry leader, specialized in the manufacturing of polyester chips. JBF Industries is listed in India and its products cater to the textile manufacturing industry, PET bottle manufacturing and polyester film manufacturing industries.

ADIB acted as initial Mandated Lead Arranger, Sole Bookrunner, and Investment and Security Agent Bank for the deal while National Bank of Fujairah acted as Mandated Lead Arranger.

Commenting on the financing, Tirad Mahmoud, CEO of ADIB, said: “We are pleased to deepen our relationship with JBF RAK further. Providing this customized Islamic Financing solution will help it optimize its funding and meet long term strategic objectives. This transaction confirms ADIB’s experience in structuring Islamic Finance Facilities and Sukuk transactions, through its dedicated and experienced team.”

http://www.zawya.com/story.cfm/sidZAWYA20120207084654

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