B.L.C. BANK S.A.L
Status: Completed investmentWhy disclosure?
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In case of questions, please contact us at disclosure@fmo.nl
Disclaimer
The information as disclosed is indicative and provided on an "as-is/as available" basis for general informational purposes only and should not be construed as financial, legal or investment advice, nor as a commitment or an offer to arrange or provide any financing. The final decision to provide financing is subject to the terms and conditions of FMO in its sole and absolute discretion. When providing links to other sites, FMO bears no responsibility for the accuracy, legality or content of the external site or for that of subsequent links. The information on proposed investment for high-risk investments is made available in the language relevant to the country or region where the bulk of operations take place. Translations of any information into languages other than English are intended as a convenience for local stakeholders. In case of any discrepancy, the information provided in English will prevail.
Who is our customer
BLC Bank sal is a Lebanese Joint Stock Company based in Beirut, Lebanon. It was incorporated in 1950 as a family-owned bank, making it one of the oldest banks in Lebanon. The bank and its subsidiaries are primarily involved in investment, corporate and retail banking across Lebanon and Cyprus. The corporate banking segment offers credit facilities, project finance and payroll services to corporate and institutional clients. The retail segment offers deposit accounts, insurance products and loans. The private banking segment offers capital guaranteed products, equities, f/x and bond trading. The bank operates a network of over 50 branches across Lebanon. BLC Bank is particularly active in SME and women lending in Lebanon and gradually became a bank of reference in the retail sector with innovative consumer products. Its "We Initiative" program provides the bank with a competitive edge in the women lending segment in Lebanon. Fransabank SAL (also a client of FMO) is the ultimate parent of the Bank with 68.58% of shares. BLC Bank's subsidiaries are BLC Finance (98.99%), BLC Services (90.67%) and USB Bank - Cyprus (99.25%). The bank's shares are listed on the Beirut Stock Exchange.
What is our funding objective?
Our Trade Finance Limit supports BLC Bank in its objective to expand its financial services to SME and corporate clients and become a bank of reference in this segment. By taking away country and counterparty risk, it allows the bank to build and maintain relationship with international banks.
Why do we fund this investment?
BLC Bank's innovative approach to women and SME lending in addition to its widespread branch network in Lebanon is line with FMO's target to expand its presence in Lebanon. BLC is a subsidiary of Fransabank Group (FMO client, #4 bank in Lebanon). A transaction with BLC therefore deepens FMO's strategic partnership with the group.
What is the Environmental and Social categorization rationale?
The facility has been categorized as Category B in accordance with FMO's Sustainability Policy. The trade finance activities are deemed to have potential limited adverse environmental and social risks and/or impacts. As part of this facility, BLC Bank will be required to apply the EDFI Exclusion List and national E&S laws and regulations.
- Website customer/investment
- http://www.blcbank.com
- Region
- Asia
- Country
- Lebanon
- Sector
- Financial Institutions
- Effective date
- 1/11/2019
- End date
- 4/23/2021
- Total FMO financing
- USD 6.00 MLN
- Funding
- FMO NV
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Risk categorization on environmental and social impacts, A = high risk, B+ = medium high risk, B = medium risk, C = low risk
Environmental & Social Category
(A, B+, B or C) - A