ADIB and Aldar Properties close AED 1bln sustainability linked financing deal

ADIB and Aldar Properties close AED 1bln sustainability linked financing deal

Abu Dhabi: Abu Dhabi Islamic Bank (ADIB), a leading financial institution, has arranged an AED 1 billion sustainable bilateral facility for Aldar Properties PJSC (Aldar). The financing takes Aldar’s total ESG financing facilities to AED 4.8 billion as the company transitions towards sustainable financing for its projects and investments. The transaction underscores both entities’ commitment to supporting environmentally beneficial projects aligned with the UAE Net Zero by 2050 strategic initiative.

ADIB acted as the sole facility provider and Aldar intends to utilize the proceeds to finance sustainable projects such as green buildings, property upgrades to enhance energy efficiency, sustainable water management, pollution control measures, and renewable energy sources.

Commenting on the announcement, Mohammed Al Fahim, Acting Global Head of Wholesale Banking at ADIB: "We are excited to support Aldar in its effort to decarbonize the real estate industry and extend our long-term relationship to support the company’s dedication to contributing to a low carbon economy. The closure of the AED 1 billion Sustainable Finance Facility is a testament to ADIB's commitment to sustainability and demonstrates how the financial sector can play an active role in expediting the nation’s green transition. ADIB remains committed to empower companies to embrace more sustainable practices. ADIB’s