- 2-year syndicated US Dollar Murabaha facility.
- QInvest acting as Sole Bookrunner and Structuring Advisor.
- Qatar Islamic Bank acting as Initial Mandated Lead Arranger with Barwa Bank, First Gulf Bank and Mashreq Bank as Mandated Lead Arrangers.
İş Gayrimenkul Yatirim Ortakligi A.S (“İş REIT” or the “Company”) has signed a US$ 50 million Murabaha facility with a syndicate of banks from the GCC. The facility carries a tenor of 2 years and a profit rate of LIBOR +250 bps.
QInvest acted as Sole Bookrunner and Structuring Advisor to İş REIT. Qatar Islamic Bank was the Initial Mandated Lead Arranger and is also acting as the Investment Agent with Barwa Bank, First Gulf Bank, Mashreq Bank taking the Mandate Lead Arranger roles.
Founded in 1999, İş REIT is a Turkish Real Estate Investment Trust engaged in the investment and development of real estate projects in Turkey. The Company’s portfolio was valued at US$ 920 million as at 31 December 2011.
İş REIT is listed on Istanbul Stock Exchange and has a market capitalisation of c. US$ 431 million as at 26 August 2012. The Company is 42.0% owned by the public, 42.2% by Türkiye İş Bankasi A.S (“İş bank”) and 15.8% by other shareholders.
Speaking on the occasion of the signing ceremony, Turgay Tanes, Chief Executive Officer of İş REIT, commented: “We believe that a Murabaha facility is the most suitable form of financing for our business since it is one of the most widely used instruments used by banks within Islamic Finance. This type of instrument offers relevant cost and payment terms for our current and future investments. We are pleased to work with QInvest and announce this initiative”.
Shahzad Shahbaz, Chief Executive Officer of QInvest, commented: “The success of this deal is a testament to the efforts of all teams involved. QInvest was able to execute this Transaction by bringing a number of leading banks into the syndicate and we are pleased to have arranged this milestone transaction in Turkey”.