Emirates Global Aluminum (EGA) closed a USD 5 bn, multi-tranche debt refinancing facility to roll over existing debt and open up balance sheet capacity, it said in a press release. The oversubscribed facility features both conventional and shariah-compliant tranches, consisting of term loans and revolving credits with maturities of up to five years.

The industrial giant may be clearing its decks for a long-awaited ADX IPO. EGA was said to be gauginginvestor appetite last month for a listing that could value the company at USD 10-15 bn. EGA has also recently sold its power and water assets in Al Taweelah for USD 1.9 bn to move to an asset-light model.

ICYMI- The firm has other big plans in the pipeline: At the start of the year, EGA said it was building a new primary aluminum smelter in the US. Previous reports noted the facility could cost between USD 5-6 bn and would be part of the UAE’s USD 1.4 tn investment pledge to the US. Once up and running, the plant will more than double the US’ current primary aluminum output, freeing up supply for the country, which currently imports 85% of its total requirements. EGA has also said it is expecting demand to outpace supply, setting the stage for tighter markets ahead.

Tags: