al hilal bank term arranger in Emirates Steel US$1.1bn project finance deal
al hilal bank, the UAE's Islamic bank, announced that it has been appointed as an Islamic Term Arranger for the Emirates Steel Industries PJSC's Islamic Tranche of its $1.1 billion Project Financing deal.
The financing deal comprised of a $733 million limited-recourse facility from seven conventional banks and a $367 million Ijara (lease) facility from two Islamic banks, al hilal bank's participation in the deal is of USD 117 Million. Funds will be utilised to finance ESI's capital expenditures for its expansion plans for additional manufacturing facilities
Commenting on the subject, Mr Mohammed Jamil Berro, CEO, al hilal bank, said: "We are delighted to play a significant part in the completion of the project finance deal. This deal is a continuation of an ongoing flow of deals al hilal bank has participated in to provide institutions with Islamic financing solutions and to support various important sectors of the UAE's economy".
"This transaction also comes in line with al hilal's commitment to Abu Dhabi's vision 2030 and supporting the Emirate's strategic and vital business initiatives".
Stephen Pope, Chief Financial Officer of ESI, commented "We are delighted to have al hilal as one of our lending group. Having both an Islamic and a Conventional tranche the deal structure was complex; in this context we were very pleased with the professionalism and support received from the al hilal team to help us close the deal."
Established In September 2006, Emirates Steel Industries is100% owned by General Holding Corporation.
- Yemen Central Bank headquarters to relocate from Sanaa to Aden
- Show me the money: Lebanon addresses bank transfer delay problems
- Swiss Leaks revisited: Strong Egyptian presence in banking scandal
- Saudi market plans IPO in 2018
- Understanding the ripple effect: 8 reasons the US economy has slowed down in Q1 of 2015
- ADIB leads Islamic tranche of the AED 4.0 Billion project finance facility for Emirates Steel Industries expansion project
- General Holding Corporation and Emirates Steel secure us$2.2 billion financing to cover Emirates Steel’s expansion projects
- US$ 135 million multicurrency term loan for al-Ittefaq Steel Products Company
- Emirates Islamic Bank offers US$ 40 million Ijara Facility to EHDC
- Emirates Steel signs US$ 1.1 billion project financing agreement