An ambitious capital markets financing backed by exposure to Oman’s massive Al Madina al Zarqa (Blue City) project was roadshowed last month by Bear Stearns and Standard Chartered. The $900 million Blue City Investments transaction is unusual in that it not only incorporates construction risk but also a provision that repayment of the notes is dependent on future residential sales of the properties to be constructed.
The whole Al Madina al Zarqa project envisages the creation of a completely new city in Oman covering 34 sq km of coastal land. It is...
