Abu Dhabi airport contractors near $1.1 billion finance deal

Abu Dhabi airport contractors near $1.1 billion finance deal

The consortium building Abu Dhabi's new airport terminal is close to securing a 4-billion dirhams ($1.1 billion) financing deal, which will be mainly sharia-compliant, banking sources said on Wednesday.

August 8, 2012 4:20 by Reuters

The consortium building Abu Dhabi’s new airport terminal is close to securing a 4-billion dirhams ($1.1 billion) financing deal, which will be mainly sharia-compliant, banking sources said on Wednesday.

Turkey’s TAV Insaat, Dubai’s Arabtec Holding and Athens-based Consolidated Contractors Co. were awarded a $2.9-billion contract in June to build a mid-field terminal in the emirate.

Dubai lender Mashreq is leading the financing deal which includes First Gulf Bank, Union National Bank, Al Hilal Bank, all from Abu Dhabi, and Jordan’s Arab Bank, said two banking sources close to the deal who declined to be identified.

The financing will be 80 percent sharia-compliant with the remainder secured via a conventional loan, the sources said. The four-year contractor finance facility will see all banks provide roughly equal amounts.

(Additional reporting by Bernardo Vizcaino and Praveen Menon; Editing by Amran Abocar)