By Daniel Shane
Credit obtained from club of local lenders, will be used to finance project pipeline
UAE-based construction materials provider Arkan has secured an AED1.4bn (US$380m) credit agreement in order to refinance its existing debt, the company announced today.
The 78-month term loan, obtained from local lenders including Emirates NBD, First Gulf Bank and Union National Bank, will be used to fund a pipeline of new projects in the Gulf state.
Arkan says the credit line will “generate significant savings in interest cost... over the repayment period”.
Over the next three years the Abu Dhabi-based firm plans to launch three new business units.
Arkan’s current pipeline of projects includes Al Ain Cement Factory, Arkan Lime Plan and Arkan Dry Mortar.