DUBAI: Bank of Sharjah plans to refinance a $200 million (Dh735 million) two-year loan maturing next year, said the lender’s executive director, as the UAE bank hopes to benefit from lower borrowing costs.
The refinancing should be completed in the first quarter of next year, with the bank still to decide whether to raise the amount to $250 million and whether to extend the tenor on the new facility to three or four years, Varouj Nerguizian, executive director and general manager, told reporters on the sidelines of an event in Dubai.
“Bank of Sharjah previously refinanced the loan in August 2013, with the facility priced at 125 basis points over the relevant benchmark — a 25 basis point discount to the previous facility, it said at the time. National Bank of Abu Dhabi, Commercial Bank of Dubai, Commerzbank, First Gulf Bank and Wells Fargo provided the loan.
