Dentons advises Aldar on landmark sustainability-linked syndicated revolving credit facility

Dentons advised Aldar Properties PJSC (Aldar) in relation to its landmark AED9 billion (USD2.45 billion) sustainability-linked syndicated senior unsecured committed multi-tranche revolving credit facility.

The facility represents the largest sustainability-linked, syndicated deal by a real estate company in the Middle East and is six times larger than any other single bank financing carried out by the company in its recent history. Moreover, the facility is arranged at a historically tight credit spread for Aldar, reinforcing the company’s balance sheet resilience and providing substantial committed liquidity at a time of rapid growth across the company’s property development and investment platforms.

By integrating sustainability into its financing framework, this transaction further reinforces Aldar’s position as a leader in sustainable growth while supporting its broader ambitions of creating long-term value for stakeholders. Aldar’s Green Finance Framework also governs investment in sustainable projects, including green buildings, property upgrades to enhance energy efficiency, sustainable water management, pollution control measures and renewable energy sources.

The facility, which incorporates both conventional and Islamic tranches across AED and USD currencies, was provided by a group of domestic and international banks comprising Abu Dhabi Commercial Bank, Ajman Bank, Bank of China, Citi, Dubai Islamic Bank, Emirates Islamic Bank, Emirates NBD Bank, First Abu Dhabi Bank, HSBC, Intesa Sanpaolo, J.P. Morgan, Mashreq, National Bank of Kuwait, RAKBANK and Sharjah Islamic Bank.

“We are proud to have supported Aldar on this landmark transaction,” said Stephen Knight, co-head of Middle East Banking and Finance. “This financing highlights Aldar’s commitment to sustainability and reflects our own dedication and expertise with regards to sustainability-linked financings. It was a privilege to be involved in this landmark financing.”

The Dentons team was led by partner Stephen Knight, with support from associate, Nick Reed.