Syndicated Loan Agreement Template for Qatar

The Syndicated Loan Agreement is a sophisticated financing document used when a borrower requires substantial funding that exceeds the capacity or risk appetite of a single lender. Governed by Qatar law and regulated by the Qatar Central Bank, this agreement is particularly relevant for large-scale projects, corporate expansions, or significant acquisitions in Qatar. It comprehensively documents the relationship between the borrower, multiple lenders, and various agents, covering facility terms, security arrangements, representations, covenants, and events of default. The agreement must comply with Qatar's banking regulations, civil code, and commercial laws, and can be structured to accommodate both conventional and Shariah-compliant tranches. It typically includes detailed conditions precedent, ongoing compliance requirements, and sophisticated payment and security mechanisms suitable for Qatar's legal framework.

1. Parties: Identifies all parties to the agreement, including the borrower, agent bank, security trustee, and syndicate lenders

2. Background: Sets out the context of the loan facility and purpose of the agreement

3. Definitions and Interpretation: Comprehensive definitions of terms used throughout the agreement and rules of interpretation

4. The Facilities: Details of the loan facilities being made available, including amounts, currencies, and purpose

5. Conditions Precedent: Conditions that must be satisfied before drawdown of the loan

6. Drawdown: Procedures and requirements for utilizing the loan facilities

7. Repayment: Terms of repayment including scheduled repayments and final maturity

8. Prepayment and Cancellation: Provisions for voluntary and mandatory prepayment and facility cancellation

9. Interest: Interest calculation, periods, payment dates, and default interest provisions

10. Fees: All fees payable under the facility including arrangement, commitment, and agency fees

11. Tax Gross Up and Indemnities: Provisions dealing with tax implications and related indemnities

12. Increased Costs: Provisions dealing with changes in law or regulations affecting lenders' costs

13. Representations and Warranties: Borrower's representations and warranties to the lenders

14. Information Undertakings: Borrower's obligations to provide financial and other information

15. Financial Covenants: Financial ratios and other financial requirements the borrower must maintain

16. General Undertakings: General positive and negative covenants of the borrower

17. Events of Default: Circumstances constituting default and their consequences

18. Changes to Parties: Provisions for transfers, assignments, and changes in lending syndicate

19. The Agent and The Security Trustee: Roles, responsibilities, and rights of the agent and security trustee

20. Payment Mechanics: Procedures for making payments under the agreement

21. Set-off: Rights of set-off and their application

22. Notices: Methods and requirements for giving notices under the agreement

23. Calculations and Certificates: Provisions regarding calculations and certificates under the facility

24. Governing Law and Enforcement: Choice of law and jurisdiction provisions