BB Energy (Gulf) DMCC ("BB Energy") is pleased to announce the successful closing of its 2 years Revolving Structured Commodity Trade Finance Facility (the "Facility") totalling US$ 400,000,000.
In August 2012, BB Energy mandated Société Générale Corporate and Investment Banking as Sole Bookrunner and IFC (International Finance Corporation) as Lead DFI lender.
The syndication was well supported by international banks and developmental financial institutions ("DFI's"), the Facility closing oversubscribed with Natixis, Qatar National Bank and Rabobank joining the Facility as Lead Arrangers while, BHF Bank and the OPEC Fund for International Development ("OFID") joined as Arrangers.
Société Générale acted as Security, Documentation and Facility Agent in connection with the Facility. This successful transaction has established BB Energy as an important borrower in the international syndicated trade finance market.
The Facility will be used by BB Energy to finance the delivery and inventory of oil products to Mauritania after having been awarded an exclusive 2-year running from April 2012 to April 2014. BB Energy's Chairman, Baha Bassatne, said "The support received from the banking and DFI community in BB Energy's first ever syndicated trade finance facility demonstrates the confidence in BB Energy's business model and consolidated trading activities. BB Energy is grateful to the banks and DFIs that are participating in this transaction in particular to Société Générale and IFC for their key role in arranging this facility. SG confirmed its historical key partner role through this successful closing."
SG's Global Deputy Head of Natural Resources, Dominique Beretti, states that "this is not just a landmark transaction for BB Energy it is a transforming milestone which demonstrates the Group's capacity to undertake strategic and visible projects with the full support of its core lenders and multilaterals."
IFC Director for Global Trade and Supply Chain Solutions, Georgina Baker said, "This groundbreaking transaction helps ensure a continuous fuel supply to the Islamic Republic of Mauritania, which is wholly dependent on imported energy. In a country where one in three is unemployed, imported energy plays a vital role in daily commercial activities and life and is essential to maintaining macroeconomic stability and promoting GDP growth."