Five Holdings says funds were used to build Palm Jumeirah and Jumeirah Village projects
Five Holdings, the Dubai-based developer, said on Tuesday it has repaid its AED1.1 billion ($300 million) syndicated finance package 13 months ahead of schedule.
The international syndicate for the dual Islamic and conventional financing was used to support the construction of its Five Palm Jumeirah and Five Jumeirah Village Dubai projects.
Five Palm Jumeirah opened its doors in March while Five Jumeirah Village Dubai will open in the fourth quarter of 2018, the company said in a statement.
“Five Holdings’ ability to repay our syndicated finance package early is a result of our strong cash flows and growing confidence in our flagship property, Five Palm Jumeirah Dubai,” said Kabir Mulchandani, group chairman and CEO, Five Holdings.
The syndicated financing was backed by seven financial institutions, including Abu Dhabi Islamic Bank and three of the world’s largest banks - Industrial and Commercial Bank of China, Agricultural Bank of China and Bank of China.
China Minsheng Banking Corp, Invest Bank and Arab African International Bank also backed the transaction.
Five Holdings in June announced the launch of its new hospitality brand, Five Hospitality. The hospitality arm operates Five Palm Jumeirah Dubai as well three future hotels and residences, worth a total value of $2 billion.
“The ability of Five Holdings to complete the Five Palm Jumeirah Dubai ahead of schedule and to repay its financing ahead of maturity is a testament to the efficient, hands-on management of Five Holdings team,” said Eric Stoclet, acting head of Global Wholesale Banking at ADIB.