Creditors Fail To Reach Agreement On Settling Siag’s EGP 700 Mln Debt

The Arab African International Bank (AAIB), Egyptian Arab Land Bank (EALB), Ahli United Bank and Industrial Development and Workers Bank of Egypt (IDBE) failed to reach an agreement with the businessman Wagih Siag on settling his debt which is worth EGP 700 million, sources told Amwal Al Ghad.

The lenders and creditors did not reach an agreement on how to deal with the debtor’s asset which is Siag Hotel. IDBE, the largest creditor, wants to sell the Hotel, while AAIB wants to rent it, sources added.

IDBE acquires 50% stake in the debt (=EGP 350 million), AAIB acquires 28.5% stake (=EGP 200 million) and EALB and AHli United Bank acquire the remaining stake.

Lenders await the South Giza Court’s ruling on how to manage Siag Hotel to enable creditors get their dues after negotiations failed over settling the debt which goes back to the 1980s.