AK BARS Bank raised Sharia compliant financing for Tatarstan
AK BARS Bank raised US$ 100 mln. within Islamic finance for Tatarstan region provided by a group of international banks. The documentation was signed on 30 December 2013.
Citi, COMMERZBANK Aktiengesellschaft and Emirates NBD Capital Limited acted as Mandated Lead Arrangers and Bookrunners on the Facility.
Following its debut US$ 60 mln. deal of 2011, current Murabaha facility became AK BARS Bank’s second Sharia compliant project in Islamic Finance market. Today AK BARS Bank is the leader and pioneer in the development and implementation of alternative funding sources both in the Russian market and across the CIS.
The transaction raised high market interest resulting in a significant oversubscription and a syndicate of 11 banks in total proving «AK BARS» Bank’s reputation as a reliable borrower among investors and its excellent relationships with its partners. The transaction was additionally aimed at raising further awareness in the Middle East and GCC about the Islamic finance community within Russia, specifically in Tatarstan.
General funding for AK BARS Bank to be utilised to fund Shari'a compliant assets and investment projects in the Republic of Tatarstan and AK BARS Bank’s presence regions. AK BARS Bank seeks to further broaden and diversify its funding base, developing new and strengthening existing bank relationships, receiving recognition from cross-international Islamic finance market investors.