Emirates Islamic Bank announced it has signed a syndicated Murabaha facility totaling US$30.5 million with an Iranian steel manufacturer to finance the purchase of raw materials for increased production at its plant.
The Murabaha deal with the Khuzestan Steel Company is guaranteed by the Iranian Mines and Mining Industries Development and Renovation Organization (IMIDRO), an Iranian government entity that supports the industry.
“Emirates Islamic Bank is pleased to lead on this facility, which is part of our commitment to offering high-quality, innovative Islamic financial solutions to retail, corporate and investment customers. We look forward to participating in other financing facilities for companies in Iran, as well as those in the UAE and elsewhere in the region,” said EIB CEO Ebrahim Fayez Al Shamsi.
The syndication included Emirates Islamic Bank with US$10 million, ABC Islamic Banking of Bahrain with US$7.5 million, Emirates Bank International of the UAE with US$5 million, Amlak Finance of the UAE with US$4 million, Al Salam Bank of Sudan with US$2 million and Al Barakah Islamic Bank of Bahrain with US$2 million.
The agreement was signed by Al Shamsi, Hisham Mahmoud on behalf of ABC Islamic Bank and Abdullah Showaiter on behalf of other participating institutions.
Emirates Islamic Bank officials and other bank delegations met with representatives of the Isfahan Steel Company and the National Group of Steel Companies to discuss financing requirements for the purchase of plant, machinery and raw materials.
Separately, Emirates Islamic Bank executives held talks with the Industrial Development and Renovation Organization of Iran, a major shareholder in key industries in the country, to explore future project financing and investment opportunities.
Emirates Islamic Bank is a licensed Islamic Bank established in October 2004 with a mission to provide consumers in the UAE with effective and innovative Sharia’a-compliant financial solutions and total peace of mind. Emirates Islamic Bank is headquartered in Dubai with 10 branches offering retail, corporate and investment services throughout the UAE. The bank is driven by a vision to be the leading Islamic