Daewoo Engineering & Construction signs US$200 million Syndicated Conventional and Islamic Term financing facilities
Source: ASDA'A BCW for Emirates NBD , Author: Posted by BI-ME staff
Posted: Tue February 12, 2019 12:55 pm

UAE.  Daewoo Engineering & Construction Co., Ltd. ("Daewoo E&C"), one of Korea's leading construction companies with a growing presence in Middle East and Africa, has successfully completed a US$ 200 Million Dual Tranche (Conventional and Islamic) Syndicated Term Facility on 30th January, 2019.
 
Emirates NBD Capital Limited ("EMCAP"), Emirates NBD's investment banking arm, acted as sole Mandated Lead Arranger and Bookrunner ("MLAB") for the transaction that included eight other regional and international banks.*

The transaction marks EMCAP's debut syndication for a Korean corporate, which attracted a wide base of investors across the GCC, Europe and Asia.
 
The transaction was initially launched at US$ 100 million, which got oversubscribed by two times and was eventually upsized to US$ 200 million; a testament to Daewoo's growing global reputation stemming from its strong commercial competitiveness and extensive technical expertise.
 
Mr. Inhwan Cho, Executive Vice President, Daewoo E&C said, "This facility is part of our company's conscious strategy to proactively tap new liquidity, especially in the GCC financial markets which will potentially auger well for future financing requirements in relation to our Middle East projects"
 
While Daewoo E&C has tapped global syndicated loan markets in the past, this transaction is of strategic importance to the Company, since it has allowed them to forge key relationships with Islamic banks based in the Middle East that are active in the contracting space.
 
The facility is structured as a two-year bullet funding comprising both Conventional and Murabaha tranches and will be utilised towards funding working capital requirements for the Company's overseas projects.
 
Fahad Abdulqader Al Qassim, Chief Executive Officer, Emirates NBD Capital commented, "The overwhelming success of this deal reaffirms our market position in the region as the "go-to" bank for international clients looking to tap Middle Eastern liquidity, in addition to global appetite, and we look forward to continue supporting our international clients in their future financing needs backed by our market leading investment banking platform"
 
*Participating Banks
 
Mandated Lead Arrangers:
 
- Ahli United Bank B.S.C. (DIFC Branch)
- Ahli United Bank K.S.C.P.
- Warba Bank K.S.C.P.
 
Lead Arrangers:
 
- Kuwait International Bank K.S.C.P.
- Bank SinoPac Offshore Banking Branch
 
Arrangers:

 
- Credit Europe Bank N.V.
- Mashreqbank psc
- First Commercial Bank Offshore Banking Branch

Photo Caption: Mr. Inhwan Cho, Executive Vice President, Daewoo E&C and Jonathan Morris, ‎Senior Executive Vice President & Group Head – Wholesale Banking, Emirates NBD 

About Emirates NBD Capital Ltd:
Emirates NBD Capital Ltd (EmCap) is a leading regional investment bank offering customised advisory and capital financing solutions. EmCap is a DFSA regulated entity based in the Dubai International Financial Centre.

For more information, please visit: www.emiratesnbd.com

About Daewoo E&C
DWEC, is a global construction company headquartered in Seoul, Korea and operating branches and subsidiaries in Asia, Africa and Middle East. DWEC has been engaged in a wide range of construction activities such as Buildings, Civil Works, Housing and Plant Engineering & Construction catering to oil & gas, power, industrial, transportation, harbour/ dam and housing segments in the domestic and overseas markets.
 
Established in 1973, DWEC has grown on to become one of the best engineering and construction companies in Republic of Korea. The Company has operated about 400 overseas projects across more than 40 countries totaling up to USD 59.4bn. The Company posted a revenue of KRW 2.42tn (equiv. USD 2.26bn) from its overseas business in 2017 on a standalone basis.
 
DWEC is majority held by Korea Development Bank (KDB) with a shareholding of 50.75%. The Company is publicly listed on the Korean Stock Exchange since 2001 and has a current market capitalization of KRW 2.46tn (USD 2.2bn equiv.).
 
For further information please visit: http://www.daewooenc.com/eng/

 

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