Mitsubishi UFJ Financial Group (MUFJ) has put together a syndicated loan worth $5 billion for a sovereign wealth fund in Abu Dhabi, a report said on Sunday.
Bank of Tokyo-Mitsubishi UFJ, part of the MUFJ group, has arranged the multibank credit for International Petroleum Investment Co. (IPIC), the business daily Nikkei reported, without citing sources.
The syndicate also involves 15 other banks, including Santander of Spain, HSBC Holdings Plc. of Britain and Sumitomo Mitsui Banking Corp of Japan, the report said.
Japanese banks are hoping to increase their presence in the Middle East, the Nikkei said, adding that many Middle Eastern sovereign wealth funds need large loans which major US and European banks have grown cautious about providing in the global financial crisis.
IPIC will most likely use the one-year loan to acquire Canada-based Nova Chemicals Corp. and to take a stake in CEPSA, Spain's number two oil company, the Nikkei report said.For all the latest banking and finance news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.
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