DUBAI- Bahrain-based alternative investment manager Investcorp has mandated Citi and JPMorgan to coordinate the refinancing of a $400 million loan, sources familiar with the matter said on Sunday.
Founded in 1982, Investcorp is one of the oldest Middle Eastern private equity houses. As of the end of last year, it had $22.5 billion in assets under management.
The firm has hired the banks to coordinate the refinancing of a $400 million revolving credit facility it raised in 2016 which is due next year, said the sources.
Investcorp and Citi declined to comment. JPMorgan did not immediately respond to a request for comment.
The new revolving loan, with a maturity of four years renewable by one year, is being syndicated to other banks, said the sources.
A revolving loan is one that can be drawn, repaid and drawn again during the agreed lending period.
The 2016 loan included a euro-denominated tranche of around 110 million euros, according to Eikon Refinitiv data.
The refinancing comes amid a slowdown in the Middle East loan market, as borrowers have increasingly turned to bond issues to diversify their funding base and, more recently, to take advantage of favourable conditions across emerging markets.
(Reporting by Davide Barbuscia; Editing by Mark Potter) ((Davide.Barbuscia@thomsonreuters.com; +971522604297; Reuters Messaging: email@example.com))