Emirates International Aluminum Company announced yesterday that it has obtained a rotating credit facility of $ 600 million (2.2 billion dirhams) with a group of UAE and international banks.
The company said in a statement, that these mandatory facilities, with a duration of three years, are a competitive deal that replaces non-mandatory facilities by a number of banks.
The CEO of the company, Abdel Nasser bin Kalban, said that «(Emirates International Aluminum) is a global company with operational assets on two continents, which deals with every step related to the manufacture of aluminum, where these revolving credit facilities are a step forward in the development of our strategy for managing finance and balance sheet. It also enables us to take a solid approach to managing our liquidity and working capital in the short term. ”
He added that the deal was arranged by Commercial Bank of Dubai, Emirates NBD, Mashreq Bank and Standard Chartered.
The revolving credit facility is a credit line offered by lenders, which can be relied upon at any time the borrower wants it. Rotating credit facilities are used by companies to enable effective cash flow and liquidity management.