Egyptian Gulf Bank Contributes EGP 150 Mln To Ethydco Loan

The Egyptian Gulf Bank (EGB) targets to contribute EGP 150 million to the US$ 1.250 billion loan arranged to the Egyptian Ethylene and Derivatives Company (Ethydco).

Sources said the bank will contribute to the local-currency segment of the loan to which the National Bank of Abu Dhabi (NBAD) and Arab Investment Bank will contribute EGP 180 million and EGP 120 million, respectively.

The National Bank of Egypt (NBE), Banque Misr, Commercial International Bank (CIB), Banque Du Caire and Arab International Bank are arranging the loan which is divided into a dollar-currency segment of US$ 750 million and local-currency segment equals to US$ 500 million.

The loan arrangers will contribute the following values: NBE (US$ 450 million), Banque Misr (US$ 225 million), CIB (US$ 175 million), Banque Du Caire (US$ 75 million) and Arab International Bank (US$ 75 million).

The loan will be used to finance the establishment of a complex of ethylene and polyethylene plants in Alexandria. NBE, Banque Misr and Banque Du Caire had earlier offered the Company a bridge loan worth US$ 240 million which was directed to issue a letter of credit for the Project’s contractor.