EQS-Adhoc: Orascom Development Holding AG: largest subsidiary in Egypt, Orascom Development Egypt (ODE) signs USD 265 million medium-term loan to refinance its existing debt, securing 2.5 years of grace period and extending its term loans to 7 years.

Press Release

Orascom Development Holding AG's largest subsidiary in Egypt, Orascom Development Egypt (ODE) signs USD 265 million medium-term loan to refinance its existing debt, securing 2.5 years of grace period and extending its term loans to 7 years.

Altdorf, November 23, 2020 - Orascom Development Holding (ODH) is pleased to announce that its largest subsidiary in Egypt, Orascom Development Egypt (ODE) has signed a medium term loan agreement to refinance and upsize its outstanding debt with the equivalent of USD 265 million 7 years term loan with a 2.5 years grace period.

ODE intends to use the proceeds as follows:

- Up to USD 215 million, to refinance outstanding balances of its debt to relieve the company from upcoming debt commitments.

- An additional tranche of up to USD 50 million (in Egyptian Pounds), will be available for drawdown over 2 years for future growth opportunities at the discretion of the Group including any planned capex for roll out of new rooms and renovation of hotels in the Group's destinations.

CIB, Banque Misr, Banque Du Caire, and HSBC are acting as mandated lead arrangers and EFG Hermes acted as sole financial advisor, lead manager, global coordinator and bookrunner for the transaction and CIB is acting as the Facility Agent on the transaction. MHR & Partners acted as legal counsel for ODE, while Helmy, Hamza & Partners acted as legal counsel to the lenders.

Omar El Hamamsy, ODH's Group CEO commented: "I am delighted with the trust and support we have received from the participating banks and the signing of the above mentioned facility, which enabled the Company to optimize the financing terms to match the Company's improved financial and operational profile. The seven years tenor with a 2.5-years principal repayment grace period factors in the covid-19 situation and permits for capex spending as the situation stabilizes. The extension of maturity will fit with the Company's financial profile, expansion plan and allow it to grow in the coming period".

About Orascom Development Holding (ODH):

ODH is a leading developer of fully integrated destinations that include hotels, private villas and apartments, leisure facilities such as golf courses, marinas and supporting infrastructure. ODH's diversified portfolio of destinations is spread over 7 jurisdictions (Egypt, UAE, Oman, Switzerland, Morocco, Montenegro, and United Kingdom), with primary focus on touristic destinations. ODH currently operates nine destinations: four in Egypt (El Gouna, Taba Heights, Makadi Heights and Byoum), The Cove in the United Arab Emirates, Jebel Sifah and Hawana Salalah in Oman, Luštica Bay in Montenegro, and Andermatt in Switzerland. ODH recently launched O West, the latest addition to its portfolio and its first project in Cairo, Egypt, located on the Sixth of October City.

Contact for Investors:
Sara El Gawahergy
Head of Investor Relations & Strategic Projects Management
Tel: +202 246 18961
Tel: +41 418 74 17 11
Mob: +41 79 156 78 49
Email: [email protected]

Contact for Media Relations:
Philippe Blangey
Partner
Dynamics Group AG
Tel: +41 432 68 32 35
Email: [email protected]
 

Disclaimer and Cautionary Statement
The information contained in this e-mail, its attachment and in any link to our website indicated herein is not for use within any country or jurisdiction or by any persons where such use would constitute a violation of law. If this applies to you, you are not authorized to access or use any such information. Certain statements in this e-mail and the attached news release may be forward-looking statements, including, but not limited to, statements that are predications of or indicate future events, trends, plans or objectives. Forward-looking statements include statements regarding our targeted profit improvement, return on equity targets, expense reductions, pricing conditions, dividend policy and underwriting claims improvements. Undue reliance should not be placed on such statements because, by their nature, they are subject to known and unknown risks and uncertainties and can be affected by other factors that could cause actual results and Orascom Development Holding's plans and objectives to differ materially from those expressed or implied in the forward-looking statements (or from past results). Factors such as (i) general economic conditions and competitive factors, particularly in our key markets; (ii) performance of financial markets; (iii) levels of interest rates and currency exchange rates; and (vii) changes in laws and regulations and in the policies of regulators may have a direct bearing on Orascom Development Holding's results of operations and on whether Orascom Development Holding will achieve its targets. Orascom Development Holding undertakes no obligation to publicly update or revise any of these forward-looking statements, whether to reflect new information, future events, or circumstances or otherwise. It should further be noted that past performance is not a guide to future performance. Please also note that interim results are not necessarily indicative of the full-year results. Persons requiring advice should consult an independent adviser.