UWEC receives $950 million from International consortium
The United Arab Emirates (UAE)’ Union Water and Electricity Company (UWEC) has been awarded a $950 million bridge loan, funded by a consortium of 13 regional and international banks. The funds will be used to finance the company’s new power generation, water desalination and transmission projects in Fujairah, reported WAM.
A bridge loan is a type of financing that is used for a short duration of time until permanent financing is put in place. Financial institutions showed great interest in the five-year facility, which was oversubscribed by $410 million or 43 percent.
The facility includes a $790 million conventional loan and $160 million Islamic tranche. The National Bank of Abu Dhabi (NBAD) will act as the facilities lead arranger and as acting as UWEC’s financial adviser.
Abu Dhabi Commercial Bank (ADCB) and Abu Dhabi Islamic Bank (ADIB) are lead managers, while Arab Banking Corporation (ABC), Gulf International Bank (GIB), Abu Dhabi Investment Company (ADIC), First Gulf Bank (FGB), Barclays Bank, HSBC, and the National Bank of Dubai (NBD) are acting as managers. The co-managers are Union National Bank (UNB), MashreqBank and the National Bank of Fujairah (NBF). — (menareport.com)
© 2002 Mena Report (www.menareport.com)