Monday, May 21, 2012
(This story was originally published Sunday.)
DUBAI (Zawya Dow Jones)--Gulf Finance House, the struggling Bahraini investment company, Sunday said holders of a $110 million Islamic bond, or sukuk, have agreed to extend repayment of the debt over six years.
More than 92% of sukuk-holders voted in favor of the restructuring, the company said in an emailed statement. The new terms give GFH until June of 2018 to repay the debt. The deal also comes with a two-year "grace period" for principal repayments this year and in 2013, GFH said.
GFH originally sold the five-year sukuk in 2007. It was set to mature in July, according to Zawya Dow Jones data.
Accountancy KPMG and Liquidity Management Centre, a Bahraini firm, advised on the restructuring.
"We are now in a better position to accelerate growth initiatives for the future," said Hisham Alrayes, the company's acting chief executive. "We are targeting to extend the maturities of our debt over a longer term to retain our key assets."
-By Asa Fitch, Dow Jones Newswires, +971 4 446-1685, asa.fitch@dowjones.com
Copyright (c) 2012 Dow Jones & Co.
(END) Dow Jones Newswires
21-05-12 0351GMT
