5th Jun 2008 07:00
ezzsteel agrees EGP1.1bn bond refinancing
5 June 2008, Cairo, Egypt - Al Ezz Steel Rebars Co ('ezzsteel'), the largest producer of finished steel products in the Middle East and North Africa, today announced that on the 2nd of June it received Capital Markets Authority approval for the issuance of a seven-year EGP1.1bn unsecured bond which was arranged by the Arab African International Bank.
The tenor of the bond is seven years and repayment could be accelerated from the date of Coupon No. 5 (30/6/2010). The total issue value is EGP1.1 billion distributed over 11 million bonds, each with a nominal value of EGP100, at a fixed annual interest rate of 11.5% to be paid semi-annually. The nominal bonds, tradable on CASE, are not convertible into shares and carry an equal ranking with other outstanding bank debt or any new bond issue in terms of priority of payment. The whole issue was fully subscribed through a public offering which started on the 18th of May 2008 and was closed on the 29th of May 2008.
As per the resolutions of the company's EGM on 31 December 2007, the proceeds of the bond are used to fully repay the currently outstanding long term loans, as well as a portion of ezzsteel's short term loans.
The Company is currently in the process of listing the bonds with the CASE and MCDR.
Enquiries:
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Ezz Steel |
Tel |
Mobile |
|
Kamel Galal |
+ 20 2 762 2144 |
+ 20 10 539 5499 |
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Capital MS&L |
||
|
Claire Maloney |
+44 207 307 5341 |
+ 44 7770 958 479 |
|
Neil Doyle |
+ 971 4367 6160 |
+ 971 508 432 465 |
|
Jennifer Martin |
+ 44 20 7307 5335 |
+ 44 7841 401304 |
About Al-Ezz Steel Rebars Co. S.A.E.
Al Ezz Steel Rebars (ezzsteel) is the largest independent steel producer in the Middle East and North Africa, with a total actual capacity of 5.3 million tonnes of finished steel per annum in 2007. It is the Egyptian market leader with over 65 per cent market share in terms of sales.
In 2007, the Company produced 3.1 million tonnes of long products (typically used in construction) and 1.7 million tonnes of flat products (typically used in consumer / industrial goods). ezzsteel's customer base is geographically diversified, with flat products mainly directed to export markets, whereas long products are sold in the domestic market. More than 70 per cent of its plants are less than 10 years old using the latest in modern steel making technology.
Related Shares:
Al Ezz Gds Regs