Unatrac Extends Tenor and Re-Prices USD 700 mn Syndicated Facility, Backed by Strong Operational and Financial Performance
DUBAI, UAE, July 2, 2014 /PRNewswire/ --A top global Caterpillar dealer reports strong support from existing as well as new banks on this high-profile syndicated transaction, which sees tenor extended two years and margin reduced by more than 30% to 2.75% over Libor
Unatrac Holding Limited ("Unatrac"), one of the largest Caterpillar dealers globally, has completed the amendment, extension and re-pricing of a USD 700 million syndicated revolving credit facility originally signed in June 2013 (the "Facility").
Barclays Bank PLC and Citi acted as Joint Coordinators on the transaction, which saw Dubai-headquartered Unatrac leverage its strong financial and operational performance over the past 12 months to capitalize on improved bank market conditions with a two-year extension of the tenor and a significant reduction in margin.
The Facility, originally concluded for a three-year term, now extends to June 2018 from the original June 2016 maturity date, while its margin has fallen by over 30% (125 bps p.a.) as pricing has been lowered to 2.75% p.a. over the London interbank offered rate (Libor).
The transaction was supported by Unatrac's bank group and raised significant appetite from both existing and new lenders.
"The company's solid performance, steady and robust growth and capable management team - alongside the strength and commitment of Mansour Group, our sponsor - are key factors behind the success acknowledged by the lender group," said Unatrac Group CEO, Loutfy M. Mansour.
"As was the case last year, the transaction was substantially oversubscribed, with all banks from the original 2013 facility committing alongside interest from new participants," said Nader Aboushadi, Executive Director and Group Corporate Treasurer at Unatrac. "This transaction stands as a testament not just to our operational and financial performances in the past year, but to the strength of the relationships we have with our banking partners."
The Facility concluded in 2013 was more than 2x oversubscribed.
Banks participating in the transaction include:
- Coordinators: Barclays Bank PLC and Citi
- Mandated Lead Arrangers: Barclays Bank PLC, Citi, J.P. Morgan Limited, Caterpillar Financial Services (Dubai) Limited, Commercial International Bank (Egypt) S.A.E, HSBC Bank Middle East Limited, Mashreqbank PSC, Qatar National Bank Group (acting through Commercial Bank International PSC and QNB Al Ahli Bank), and The Standard Bank of South Africa Limited
- Lead Arrangers: First Gulf Bank PJSC, and Standard Chartered Bank
- Arrangers: Abu Dhabi Commercial Bank PJSC, Commercial Bank of Dubai PSC, Ahli United and National Bank of Abu Dhabi
Unatrac Holding Limited is one of the largest Caterpillar dealers globally with exclusive dealership rights in eight countries across Africa, the Middle East and Russia, in addition to an export sales office in the United Kingdom. Unatrac currently employs over 3,500 employees with a dealership business encompassing Russia, Ghana, Nigeria, Iraq, Tanzania, Sierra Leone, Kenya and Uganda. The company is 100% owned by the Mansour family, founders of one of the largest private conglomerates in the Middle East and North Africa.
The Mansour Group employs more than 42,000 professionals, with operations spanning from automotive, consumer goods and retail to logistics, industrial equipment and capital markets.
"It is undeniable that our strong presence in the UAE - with its high sovereign ceiling, robust regulatory framework and key position as a global business and logistics hub - was a determining factor in the success of this transaction," concluded Mansour. "Against this backdrop, we are very pleased to have such a strong presence in the Jebel Ali Free Zone here in the U.A.E.; Jebel Ali is becoming the primary logistics hub for the Group going forward."
About Unatrac Holding Ltd.
With more than 50 years of emerging markets experience, Unatrac is one of the largest global Caterpillar dealers and holds exclusive dealership rights in eight countries across Africa, the Middle East and Russia. The company's primary lines of business include mining equipment, product support, power systems and machines. Unatrac is a top-two player in all eight of its Caterpillar territories, including Russia, Ghana, Nigeria, Iraq, Tanzania, Sierra Leone, Kenya and Uganda. Delta Holding Ltd, a Unatrac subsidiary, is also a distributor of non-Caterpillar construction equipment and power systems including SEM- and Perkins-branded generators, as well as GM vehicles, and agriculture products across the same eight territories as well as Egypt, Kuwait and Saudi Arabia. For more information, please visit http://unatrac.com.
Loutfy M. Mansour
Chief Executive Officer
Loutfy Mansour is currently Chief Executive Officer of Unatrac Holding Ltd. and Mantrac Group. Prior to joining the Mantrac Group as CEO in 2007, Mr. Mansour worked as an analyst in the Investment Banking Division of Goldman Sachs in London, where he was part of the Industrials and Natural Resources Advisory team. In 2010, Mr. Mansour incorporated Man Capital LLP, an international private equity, real estate and debt investment platform as well as a family office, of which he is currently the Chief Executive Officer. He is also a board member of several Mansour Group entities. Mr. Mansour holds a bachelor's degree in business administration from Georgetown University.
Executive Director and Group Corporate Treasurer
Nader Aboushadi joined Unatrac Holding Ltd. after a career that saw him work with leading global financial institutions. Mr. Aboushadi began his career with Merrill Lynch Private Bank in London before joining HSBC Egypt. He then moved on to join Barclays Corporate and Investment Bank as Senior Relationship Manager responsible for the bank's Construction and Building Materials portfolio. Prior to joining the Mansour Group, he was Deputy Director of the Group Corporate Treasury Department of Orascom Construction Industries. Mr. Aboushadi is a member of the Association of Corporate Treasurers in the Middle East (ACT) and the American Chamber of Commerce in Egypt (AmCham). He holds an International MBA from IE Business School in Madrid specializing in Finance and Strategy and a BSc in International Relations from the American University in Cairo. He has completed the HSBC Executive Training Program as well as the EFG Hermes Finance and Investment Appraisal Course.
SOURCE Unatrac Holding Limited