IFA Arranges US $50m Financing From Kuwait International Bank for Al Wafir Marketing Services Company
KUWAIT CITY, April 4, 2013 /PRNewswire/ --
Kuwait's International Financial Advisors KSCC ("IFA") announced today the closing of a 5 year term loan facility between Al Wafir Marketing Services Company KSCC ("Al Wafir") and Kuwait International Bank KSC ("KIB") for an aggregate amount of KD 14 M (approximately US$ 50 Million). IFA acted as the arranger and sole advisor to Al Wafir on this deal.
Othman Al Sumait, Chairman of Al Wafir, said: "This new facility will extend our maturity profile and will fund cost-efficiently the future growth of our operations. As the exclusive BOT operator of Kuwait's central wholesale market for fruits & vegetables, Al Wafir plans to leverage its expertise by entering into a number of businesses related to the food supply chain. We expect this expansion strategy to greatly enhance shareholders value and to position Al Wafir as a leading player in the wholesale food sector."
Loai Mukamis, Chief Executive officer of Kuwait International Bank stated: "KIB has always been eager to adopt lucrative BOT projects, given that Al Wafir Market demonstrates a remarkable representation in terms of execution of such projects." Mukamis added that "One of our primary objectives at KIB is to attract different businesses across the industry to achieve our strategic decision to diversify our financing portfolio."
Bassel Attieh, Head of Investments and Executive Vice President of IFA, added: "We wish to thank KIB and Al Wafir for their trust and professionalism regarding this transaction which stands out as one of the few successful senior deals for a BOT project in Kuwait. We were able to work around a number of issues that are inherent to the current Kuwaiti BOT law and which had so far impeded the financing of similar schemes. We hope this transaction will help set a benchmark for the funding of future BOT or PPP concessions that are so critical for the improvement of Kuwait's public infrastructure."
About IFA
International Financial Advisors KSCC (Kuwait) is a leading provider of financial advisory, securities trading and asset management services. IFA is the flagship company of an investment conglomerate with significant presence across hospitality, real estate, asset management and financial services. The Company operates globally with a special focus on the GCC, South Africa and Asia. IFA is listed on both the Kuwait Stock Exchange (ticker: IFA KK) and the Dubai Financial Market (ticker: IFA DB) and its conglomerate has a combined market capitalization in excess of US$ 2 billion. For more information, visit http://www.ifakuwait.com.
About Al Wafir
Al Wafir Marketing Services Company KSCC (Kuwait) was established in 1998, for the purpose of developing the central fruits and vegetables market for wholesalers under a BOT scheme from the Government of Kuwait. The market is operated as a monopoly by Al Wafir for a period of 19 years (starting July 2010) after which the infrastructure will be handed back to government agencies. The company has plans to expand in the region through the establishment of similar projects and other food-related businesses. Al Wafir is a member of the world union of wholesale markets.
About KIB
KIB was established in 1973, as a conventional real estate bank that converted to an Islamic bank in 2007. KIB Operates under the provisions of Islamic shariah and has assets in excess of US $4.6B. The bank has a rating of A- from Fitch and offers a full range of banking services through a network of 23 branches spread across the state of Kuwait. KIB is listed on the Kuwait Stock Exchange and has a market capitalization in excess of US$ 1 billion. For more information please visit http://www.kib.com.kw
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