National River Transportation Company (NRTC), one of Citadel Capital's transportation and logistics Platform Companies, said it has obtained an Egypt £325 million (Dh213m) syndicated loan to assist in the financing of part of its planned fleet of more than 90 river transport barges.
Banque Misr is lead arranger and facility agent and is providing EGP122m of the package. It is joined by Arab African International Bank as lead arranger and security agent (EG£108m) and the Bank of Alexandria as lead arranger (EG£95m).
"This financing package is an important step for NRTC, which is building the nation's first end-to-end transportation and logistics network centered around the Nile," said Hisham El-Khazindar, Citadel Capital's Managing Director and Co-Founder.
The seven-year loan will be used to finance 24 of the more than 90 barges NRTC will eventually operate. Each vessel can handle containers, dry bulk or general cargo. The full fleet will be capable of transporting more than 10 million tonnes of goods per year along the Nile by 2013.
NRTC has signed two three-year contracts worth a combined EG£560m with Alexandria Shipyard and Arab Contractors for the construction of 62 barges with a capacity of 1,500 to 1,600 tonnes each. The first of the new barges currently under construction are scheduled to come into service at the beginning of 2010.
By Staff Writer
© Emirates Business 24/7 2009
