DAE signs $300mn seven years unsecured term loan

DUBAI: Dubai Aerospace Enterprise (DAE) Ltd. signed a $300 million 7-year unsecured term loan with a group of six banks. Abu Dhabi Commercial Bank served as Initial Mandated Lead Arranger, Bookrunner and Underwriter. The loan will be used to repay secured debt and support the future financing needs of the business.

Firoz Tarapore, chief executive officer of DAE said: “We are pleased to enter into this loan led and arranged by Abu Dhabi Commercial Bank. This incremental unsecured loan further underpins our ambition to structure our funding and liquidity predominantly around unsecured debt. This transaction brings the total liquidity we have raised in the last 18 months to $3.5 billion. This gives us considerable funding certainty to pursue our aggressive growth agenda.”

Ludovic Nobili, head of Investment Banking at ADCB said, “We are absolutely delighted to singly arrange this long term, unsecured financing for DAE. It has been a privilege and an honour to assist DAE in achieving its strategic financing goals.”

“It makes sense that local businesses will want to explore markets that will dominate the global economy 20 years from now. Indeed, Oman’s future prosperity won’t come from relying on the domestic market alone. We want to make sure local businesses of all sizes and from all sectors aren’t just trading abroad but thriving there and competing successfully with the best in the world,” explains Al Busaidi.