UAE Emirates Steel secured $ 1.3 billion loan

Abu Dhabi Emirates Steel announced that it secured $ 1.3 billion in new lines of credit from nineteen local and international banks without government guarantees.

The funds will be used to refinance existing debt and invest in the creation of new steel assets. Hussein Al Novays, chairman of Emirates Steel, said that “The money will be used to refinance $ 1.1 billion of existing funding that was put in place in 2010 through nine banking institutions to fund our expansion projects. for the acquisition of assets for the production of high-quality steel. "



Emirates Steel intends to go ahead with the goal of expanding its production of quality steel products in the UAE for the domestic and global markets. Funding for 2010 was directed towards the commissioning of the first and second phases of the expansion project, which increased the plant's capacity in 2012 to 3.5 million tonnes of steel per year. These projects have been completed and are already generating stable cash flows.

Said Al Romaith, CEO of Emirates Steel, said that "the funding will also support further expansion of the company's product portfolio. The new high value-added product line will include branded quality steels, medium and high carbon wire rod, complex steel structures and sheet piles."