Lebanon Businessnews News

Hariri’s Oger gets $1 billion
Landmark transaction for group
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Saudi Oger, the Hariri-owned regional contractor group, signed a $1 billion syndicated loan to refinance debt related to its stake in the Jordan-based Arab Bank.

The four-year underwritten loan was arranged by Deutsche Bank, Emirates NBD (Emirates Bank International and the National Bank of Dubai), and Qatar National Bank. It was supported by Al Khaliji Commercial Bank and BLOM Bank as mandated lead arrangers, and by Bank Audi and Gulf Bank as lead arrangers. Banque Libano-Francaise (BLF), Commercial Bank International, Maybank, and Riyad Bank were also arrangers on the transaction.

Saudi Oger had been fighting off claims that it intended to sack up to 30 percent of its staff due to its financial crisis.

Mohammed Hariri, Saudi Oger Vice Chairman and Director, said the deal is a “landmark transaction” for the company: “Arab Bank is one of our largest holdings that we believe will continue to grow and add value to our group.” As of end-2010, Saudi Oger holds a 16 percent stake in Arab Bank, including some seven percent through its subsidiary Oger Middle East Holding.

Saudi Oger received a $250-million loan in 2010 that will mature in December 2014. The group signed a $2 billion-equivalent loan in 2011 to partially fund the development of installations for the Saudi Ministry of Interior within the second phase of the high-profile project, King Abdullah Project (KAP2).
Reported by Hanadi Chami
Date Posted: Feb 04, 2013
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