United arab bank: United Arab Bank (UAB) announced the successful conclusion of its AED1.0 billion, 2-year Senior Unsecured Dual Tranche Term Loan Facility. The new facility further strengthens UAB's balance sheet by enhancing its ability to support clients' needs while advancing the Bank's strategic growth objectives.
According to Emirates News Agency, the successful closing reflects strong market confidence in UAB's financial strength, prudent management, and sustainable growth strategy. The dual tranche borrowing comprises a Conventional tranche and a Commodity Murabaha tranche, concluded at competitive market pricing. Proceeds from the facility will be used for general corporate purposes.
The transaction was arranged by Abu Dhabi Commercial Bank, Emirates NBD, Emirates Islamic Bank, and First Abu Dhabi Bank as Initial Mandated Lead Arrangers and Bookrunners (IMLABs). Emirates NBD acted as the Global Facility Agent.
Commenting on the transaction, Shirish Bhide, Chief Executive Officer at UAB, noted that the successful completion of this AED1.0 billion dual tranche facility is a timely addition to their funding base, reflecting the sustained confidence of the UAE banking market in United Arab Bank's financial resilience and disciplined execution. This transaction further enhances the bank's liquidity position and funding flexibility, enabling proactive support for clients and pursuit of growth opportunities aligned with strategic priorities. It also advances ongoing efforts to optimize the funding mix across conventional and Shariah-compliant structures. Bhide expressed appreciation for the strong partnership demonstrated by the arranging banks and their continued trust and support.
The transaction follows UAB's strong performance for the nine months ended 30th September 2025, with net profit rising 49 percent year-on-year to AED316 million. During the period, international rating agencies took positive rating actions, with Moody's Ratings upgrading the Bank's deposit ratings to Baa2, and Fitch Ratings upgrading UAB's Viability Rating to 'bb-' while affirming its Long-Term Rating at 'BBB+', with a Stable Outlook.