Banks finance EMethanex deal
Five local and international banks signed the $530 million debt financing package for the Egyptian Methanex Methanol Company (EMethanex) scheme on 15 May. At least two more major financing deals are due to move ahead in weeks, worth a further $1,900 million.
EMethanex is a joint venture of Egyptian Petrochemicals Holding Company (Echem) and Canada's Methanex. Bank of Tokyo-Mitsubishi, Calyon, Standard Chartered Bank, the local Commercial International Bank and National Bank of Egypt are the mandated lead arrangers and have fully underwritten the debt. HSBC is the financial adviser.
The deal has a tenor of 15 years, including a 30-month grace period covering the plant's construction phase. Syndication is due to be launched in early June and half of the debt is expected to be sold down. A financing deal for a second Echem scheme is due to be signed by mid-June.
Agrium Egypt for Nitrogenic Products (EAgrium), a joint venture of Echem and Canada's Agrium, will sign its $900 million debt financing with more than 10 international and local mandated lead arrangers. Syndication of the loan will be launched at the end of June. Royal Bank of Canada is the financial adviser on the deal, which has a tenor of 15 years.
Meanwhile, Spanish Egyptian Gas Company (Segas) will take its $1,000 million Damietta LNG refinancing package out to banks by the end of May. Confidentiality letters were sent to candidate banks on 23 May.
The original financing package comprised a corporate debt facility and two European Investment Bank facilities.
The refinancing package will replace the original corporate guarantees with bank guarantees on a final hold basis (MEED 12:1:07).
www.meed.com/bankingfinance
Five local and international banks signed the $530 million debt financing package for the Egyptian Methanex Methanol Company (EMethanex) scheme on 15 May. At least two more major financing deals are due to move ahead in weeks, worth a further $1,900 million.
EMethanex is a joint venture of Egyptian Petrochemicals Holding Company (Echem) and Canada's Methanex. Bank of Tokyo-Mitsubishi, Calyon, Standard Chartered Bank, the local Commercial International Bank and National Bank of Egypt are the mandated lead arrangers and have fully underwritten the debt. HSBC is the financial adviser. The deal has a tenor of 15 years, including a 30-month grace period covering the plant's construction phase. Syndication is due to be launched in early June and half of the debt is expected to be sold down. A financing deal for a second Echem scheme is due to be signed by mid-June. Agrium Egypt for Nitrogenic Products (EAgrium), a joint venture of Echem and Canada's Agrium, will sign its $900 million debt financing with more than 10 international and local mandated lead arrangers. Syndication of the loan will be launched at the end of June. Royal Bank of Canada is the financial adviser on the deal, which has a tenor of 15 years. Meanwhile, Spanish Egyptian Gas Company (Segas) will take its $1,000 million Damietta LNG refinancing package out to banks by the end of May. Confidentiality letters were sent to candidate banks on 23 May. The original financing package comprised a corporate debt facility and two European Investment Bank facilities. The refinancing package will replace the original corporate guarantees with bank guarantees on a final hold basis (MEED 12:1:07). www.meed.com/bankingfinanceThis content is only available to full MEED package subscribers (MEED magazine and MEED.com).
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