CAIRO: Four Egyptian banks formed a consortium to cover a syndicate loan of $1.05 billion, the larges from local banks. The National Bank of Egypt, Banque Misr, Arab African International Bank, and Banque du Caire arranged, underwrote and syndicated a facility for the Egyptian Nitrogen Products Company (ENPC), which is fully owned by Misr Fertilizers Production Company (MOPCO), Beltone Financial Holding said in a statement.
The new expansions will place MOPCO at the forefront of the largest producers of nitrogen fertilizers in Egypt and the Middle East, according to the statement.
National Bank of Egypt and Banque Misr had the largest share followed by Arab African international Bank and Banque du Caire, as Initial Mandated Lead Arranger.
The Initial Mandated Lead Arrangers have successfully marketed the facility and were joined by a large number of local, regional, and international banks, the statement said. The joining banks comprises of Commercial International Bank and National Societe Generale Bank as Senior Mandated Lead Arrangers and sub-underwriters; Bank of Alexandria, Audi Bank Egypt and Lebanon, Credit Agricole Egypt, National Bank of Greece Egypt and London, as well as National Bank of Abu Dhabi as Mandated Lead Arrangers and sub-underwriters; Faisal Islamic Bank, Al Ahli united Bank Egypt and Bahrain, Al Watany Bank of Egypt, Egyptian Gulf Bank, United Bank, National Bank of Development, Union National Bank Egypt, and Arab Investment Bank as co-arrangers.
“This transaction is symbolic of the strength and stability of the Egyptian banking sector in light of the current global financial crisis, whereas the loan was fully underwritten by a group of local banks and marketed successfully, read the statement.
The investment banks EFG-Hermes and Beltone Financial Holding acted as the financial advisors for the Egyptian Nitrogen Products Company.
The loan will mainly finance the establishment and the operation of a plant for the production of nitrogenous fertilizers (ammonia / urea) with a capacity of 3850 tons / day of urea and 2400 tons / day of ammonia, which is an extension project for MOPCO. The total investment cost is estimated at $ 1.7 billion
Upon completion of the project, MOPCO will become one of the largest producers of nitrogen fertilizers in Egypt and the Middle East with a capacity of 5775 tons / day of urea and 3600 tons / day of ammonia. – Daily News Egypt
