4 Egyptian Banks Agree to Raise Mobinil’s Loan to EGP1bn

National Bank of Egypt (NBE), Industrial Development and Workers bank (IDWB), Egyptian Gulf Bank (EGB), Blom bank agreed to raise Mobinil’s loan value to EGP1 billion instead of EGP815 million after less than 1 month from the sign of finance.

An official banking source told Amwal Al Ghad that IDWB decided to boost its stake to EGP200 million instead of EGP125 million.

The syndicated loan will go for completing the necessary capital expansions of Mobinil in order to grow and expand the mobile network and other necessary operational uses to continue improving the services’ quality for subscribers.

The source noted that two new banks joined the loan including Arab African International Bank (AAIB) participated with EGP100 million and Arab Investment Bank (AIB) took part with EGP50 million.

if  Piraeus Bank will join the loan NBE’s stake may be ranging between EGP300 million to EGP350 million as Piraeus is  considering participating with stake ranging between EGP50 to EGP100 million in addition to selling part of its previous stake to AIB.

EGB will take part with EGP120 million whereas Blom bank retains the remaining value which estimated at EGP70 million.

Moreover, Mobinil has obtained syndicated loan from several banks most notably Commercial International Bank (CIB), HSBC worth EGP2.5 billion to face its financial needs that related to expansions and debt restructuring.