Gulf Capital and Egypt’s Carbon Holdings signed a $25 million debt finance deal last week. The five-year, convertible loan will be funded through Gulf Capital’s Credit Opportunities Fund I. No further details of the financial terms and conditions were disclosed. The debt will be used to develop and expand the privately-owned petrochemical group’s projects in Ain Al Soknaon.
“We are excited about the growth prospects in Egypt and are keen to increase our investments there”. Gulf Capital’s CEO, Karim El Solh said in a statement, “Egypt today represents one of the most attractive investment destinations in the Middle East and Gulf Capital is eager to increase its direct investments in the country.”
According to the press release, the funding from Gulf Capital will be used to finance project development and operations at the Egypt Hydrocarbon Corporation, a US$ 550 million Mining Grade Ammonium Nitrate (“MGAN”) plant, at Oriental Petrochemicals Corporation, a polypropylene (“PP”) production plant, and at Tahrir Petrochemicals Corporation, a US$7.4 billion greenfield naphtha cracker, olefins production complex with associated derivative units.