Project Name	Tunisia:  Banque Internationale Arabe de Tunisie

Region

Central Asia, Middle East and North Africa

SectorFinancial Services
Project No.008544
Projected Board DateJanuary 30, 1998
Company NameBanque Internationale Arabe de Tunisie
Foreign and Local Shareholders

The Foreign Shareholders of the Company are: Gruppo Bancario San Paolo di Torino (8.4%), Wafabank (Morocco) (4.3%), Middle-Eastern Financial Insititutions (7.9%), European Financial Institutions (4.3%).  Local institutional shareholders are Tunisian Institutions (42.4%), and Tunisian Individuals (32.7%).

Project Cost including proposed IFC investment

Underwriting commitment by IFC for up to 20% of a GDR offering of up to US$60 million, including an equity investment of up to US$3 million in Banque Internationale Arabe de Tunisie.

Location of project and Description of site

Tunis, Tunisia

Description of Company and Purpose of Project

IFC has been requested to underwrite the first international equity offering out of Tunisia.  The transaction would be for the account of Banque Internationale Arabe de Tunisie (BIAT) for up to US$60 million in the form of a Global Depository Receipt (GDR).  Both the Government of Tunisia (GOT) and BIAT want IFC to be actively involved in this equity issue because its success is key for Tunisia’s private sector corporations wishing to tap international capital markters.  To date, only the Tunisian Government has been able to access the international markets through bond issues.  IFC expects to underwrite up to 20% of the issue and place it with long-term institutional investors.  IFC would also invest up to US$5 million for its own account.  The issue will be joint lead-managed by IFC and Merrill Lynch.

As of June 30, 1997, BIAT has a market capitalization of approximately US$211 million and was the third largest commercial bank, but the largest private sector bank in Tunisia.  As of December 31, 1996, BIAT reported total assets of US$1.6 billion and a customer deposit base of US$1.1 billion.

Environmental Category and Issues

Financial Intermediary (FI).

Date SPI sent to PIC March 9, 1998

For additional information contact:   Corporate Relations Unit –
Telephone:  (202) 473-7711
Facsimile:  (202) 974-4384