Highly commended Middle Eastern deal of the year 2013: Emirates Aluminium
|Emirates Aluminium $4 billion financing|
|Financial adviser||RBS (advised sponsor Mubadala Development Company)|
|return to the Deals of the Year 2013 index|
On top of the Aldar-Sorouh merger, the financing of the second phase of Emirates Aluminium (Emal) added to Abu Dhabi and the UAE’s resurgent confidence in 2013.
Based near the Dubai border, Emal is 50%-owned by Mubadala, the main shareholder in Aldar. Emal’s second phase will almost double the production capacity of what has already been one of Mubadala’s biggest cash-yielding projects.
In March 2013, the parties signed a $4 billion 15-year financing, consisting of a $2.925 billion commercial tranche and a $475 million Islamic tranche. A further $600 million financing from the French, German, Korean and US export-credit agencies was signed in May.
The phase-one financing, which consisted of 30 banks and three export credit agencies, had to be revised in light of the different market environment and to accommodate a different lending group and an additional export-credit facility. In the new financing, 17 banks took part in the conventional facility, three banks in the Islamic facility.