Audi, BM, SAIB To Provide EGP270 Mln Bridge Loan To Egyptian Steel

The three arrangers of the US$ 1.07 billion loan for the Egyptian Steel Group approved to offer a bridge loan ranges between EGP 250-300 million to the Group, before receiving final approvals from contributors to the loan.

Sources at Banque Misr said Bank Audi Egypt, Banque Misr and Société Arabe Internationale De Banque (SAIB) will contribute the same value to the bridge loan.

Eleven banks have expressed willingness to contribute up to 150% of the syndicated Islamic finance. The loan arrangers are close to signing the final agreements of the seven-year term loan that will be used to finance the establishment of Egyptian Steel Factory in Beni Suef. The company will be given grace period of two years and a repayment period of five years.

The value of finance was raised to EGP 1.070 billion from EGP 900 million in order to cover the costs of restructuring a factory for steel in Alexandria.