Abu Dhabi’s sovereign wealth fund ADQ is close to securing a $4 billion syndicated loan, primarily from lenders based in Greater China, in the latest Middle East deal tapping Asian bank liquidity.
The loan has mainly attracted banks in China, Macau and Taiwan, according to people familiar with the matter. A representative for ADQ declined to comment.
ADQ’s financing underscores a broader trend of Gulf economies syndicating loans in Asia as they seek to diversify funding sources amid ambitious expansion plans. The borrowers are also capitalizing on strong demand from Asian banks to lend to highly-rated entities such as ADQ, which has AA ratings, given subdued loan activity in their home markets this year.
Middle Eastern borrowers have raised $5.2 billion in syndicated loans across the Asia Pacific so far in 2025 — a seven-year high and a 53% increase from the same period last year, according to Bloomberg-compiled data. Qatar Gas Transport Co. is currently marketing a $1 billion syndicated loan for which Mizuho Bank Ltd. is the sole mandated lead arranger and bookrunner, Bloomberg News reported earlier.
The ADQ syndicated facility agreement is set to be signed soon, the people said, who asked not to be identified discussing private matters.
The loan was initially marketed to banks with tenors of three and five years, but is set to close with only the longer maturity, based on preferences of participating lenders, the people said. The five-year facility pays an interest margin of 85 basis points over the benchmark Secured Overnight Financing Rate, they added.
Bank of China Ltd., DBS Group Holdings Ltd., Industrial & Commercial Bank of China Ltd., JPMorgan Chase & Co., HSBC Holdings Plc and Standard Chartered Plc are the bookrunners of the loan, the people said.
With assistance from Sheryl Tian Tong Lee.
This article was generated from an automated news agency feed without modifications to text.
