FINANCIAL NEWS

Dubai’s Emaar secures USD1b loan

20 Dec 2011

(MENAFN) Emaar Properties signed a USD1 billion loan, backed by its flagship Dubai Mall, Arabian Business reported.

Emaar will use the loan to repay existing USD300 million facility taken out in 2010, the company said.

The two-tranche facility, which carries a margin of 350 basis points, spans both Islamic and conventional funding, and is split between a five-year tranche and an eight-year amortising loan.

Emaar was hit by the downturn and Dubai’s realty market collapse in 2008, but managed to avoided debt restructuring.

In November, Chairman Mohamed Alabbar said Emaar was negotiating with UAE emirates about affordable housing schemes and plans to concentrate on Dubai first.

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