23 November 2008
MUSCAT -- Renaissance concluded a RO26 million ($67.6 million) syndicated finance facility with BankDhofar, Bank Sohar and Oman Arab Bank.
The syndicated credit facility was arranged by Oman Arab Bank and the facility is equally shared by the three banks.
These funds will be invested by Renaissance in its expansion projects in Oman. Recently, Renaissance was awarded contracts by Petroleum Development of Oman (PDO) to build, own and operate PAC facilities in the Sultanate's interior oil fields at Marmul and Bahja. Renaissance has a recognised track record in delivering strong returns from long-term projects of this kind in Oman and abroad. Local banks have recognised this strength in the Renaissance business model and have structured the terms of the facility accordingly. Considering the current global shortage of liquidity for long term project funding, Renaissance has secured the most reasonable terms and competitive pricing for this 10-year facility.
In the last two years Renaissance has invested more than $400 million in capital projects and has secured appropriate long term funding sources to support this. The recent third-quarter interim statement issued by Renaissance highlighted the company's efficient capital structure and the strength of its business model with secure long term projects in the oil and gas industry that have secured earnings and operating cash flows for the group for future years. This new facility serves to underwrite the current growth plans of the group. The financial closure of this new RO26 million ($67.6 million) facility, in such a challenging global financial market, emphasises the robust health of the banking system in Oman and is a strong vote of confidence in Renaissance and its long-term projects.
MUSCAT -- Renaissance concluded a RO26 million ($67.6 million) syndicated finance facility with BankDhofar, Bank Sohar and Oman Arab Bank.
The syndicated credit facility was arranged by Oman Arab Bank and the facility is equally shared by the three banks.
These funds will be invested by Renaissance in its expansion projects in Oman. Recently, Renaissance was awarded contracts by Petroleum Development of Oman (PDO) to build, own and operate PAC facilities in the Sultanate's interior oil fields at Marmul and Bahja. Renaissance has a recognised track record in delivering strong returns from long-term projects of this kind in Oman and abroad. Local banks have recognised this strength in the Renaissance business model and have structured the terms of the facility accordingly. Considering the current global shortage of liquidity for long term project funding, Renaissance has secured the most reasonable terms and competitive pricing for this 10-year facility.
In the last two years Renaissance has invested more than $400 million in capital projects and has secured appropriate long term funding sources to support this. The recent third-quarter interim statement issued by Renaissance highlighted the company's efficient capital structure and the strength of its business model with secure long term projects in the oil and gas industry that have secured earnings and operating cash flows for the group for future years. This new facility serves to underwrite the current growth plans of the group. The financial closure of this new RO26 million ($67.6 million) facility, in such a challenging global financial market, emphasises the robust health of the banking system in Oman and is a strong vote of confidence in Renaissance and its long-term projects.
© Times of Oman 2008
