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Warba Bank announced its success in arranging a joint financing deal worth USD 2.2 billion. The revenues of this huge financing will be used to develop, construct and operate a seawater treatment plant and a network to distribute it throughout the operations of the Abu Dhabi National Oil Company (ADNOC) in the Al Mirfa area in the Emirate of Abu Dhabi. Warba Bank participated as a delegated lead arranger in the Islamic segment of the syndicated financing.
The Bank said in a press statement that this announcement comes after signing all financing contracts, in light of which the pace of completion in this project has advanced significantly in replacing groundwater used in well injection operations with a sustainable water source based on the treatment and purification of seawater.
Mr. Thuwaini Khaled Al-Thuwaini, President of the Investment Banking Group at Warba Bank, said that the Bank participated with the developer alliance “Metito” and “Orascom Construction” (the construction arm of the “Orascom” group) as the main arranger in the joint financing of their strategic project, explaining that Warba Bank cooperated in this financing with eight regional and international banks, including Abu Dhabi Islamic Bank, First Abu Dhabi Bank, Gulf International Bank, Natixis Bank, Abu Dhabi Commercial Bank, Commercial Bank of Dubai, Emirates NBD, and Emirates Development Bank.
Al-Thuwaini explained that the project was widely accepted by financial institutions due to its benefits on the environmental and economic sustainability, indicating that this is in line with Warba Bank’s approach as a pioneer in financing that conforms to the standards of environmental, social, and governance (ESG) practices, which are based on the principles of sustainable development. He expected that the project will contribute to reducing the use of electricity in the water treatment process by up to 30%, by replacing the high-salinity groundwater system currently used in well injection operations.
He stated that the project is implemented by Al-Mirfa Company for Treating and Supplying Seawater, which is a special purpose company that was established by the alliance of developers “Metito” and Orascom Construction to implement the project, and the two companies together own 49% of its shares. The remaining 51% of the project will be owned by ADNOC and the Abu Dhabi National Energy Company (TAQA), which is the arm of the Abu Dhabi government to invest in the energy and water infrastructure sector. Pointing out that this cooperation between leading companies in the sector such as ADNOC and TAQA will enable the completion of a world-class sustainable project that reduces the consumption of exhaustible sources of water and energy and ensures sustainable supplies.
Al-Thuwaini praised the efficiency of the project’s structure and implementation mechanism, as it enjoys the sponsorship and participation of ADNOC, which is 100% owned by the government of the Emirate of Abu Dhabi, stressing the parallelism of the company’s objectives with Warba Bank’s objectives related to sustainable development. Emphasizing the importance of consolidating strategic relationships with parties with efficiency and a sustainable culture such as “TAQA”, “Metito” and “Orascom”, which provides opportunities for future partnerships that support the regional economy, including maintaining the highest level of practices that comply with environmental, social and corporate governance standards (ESG).
Al-Thuwaini stressed that Warba Bank will continue to meet the standards of environmental, social and governance (ESG) practices and work to expand the investment base related to sustainability and seek to enhance the approach to diversifying energy sources. Pointing out that Warba Bank has worked to establish strong relationships with many of the leading international institutions that adopt sustainability standards in various fields, demonstrating its ability to adapt its practices in order to fulfill its social responsibility towards society, its clients and its shareholders.
Al-Thuwaini concluded his statement by saying: “Warba Bank’s participation in building these projects falls within the Bank’s strategic plan aimed at expanding the scope of its international financing operations, as it contributes to enhancing regional and international cooperation and building strong relationships between the world’s leading companies in various fields. Warba Bank also supports the economic sector locally and globally by selecting the best investment opportunities that are compatible with the principles of Islamic Sharia.
This success is considered a continuation of the Bank’s achievements in this field, as the Bank completed several deals during this year to finance construction projects in the region, in which Warba Bank participated as the main arranger and commissioner for financing with an elite group of Gulf institutions and banks.
Warba Bank is one of the banks that has achieved great successes in a short period, as it occupied a leading position in the field of Islamic digital banking services for individuals, and it is one of the largest local banks in the number of shareholders, and these are among the most prominent components that make the bank close to all members of society, in addition Warba Bank is considered among the 50 largest banks in the Middle East in terms of market value for the year 2023 - Forbes Middle East classification.
