Uae cooling firm tabreed raises 26 bln dirham loan sources

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DUBAI Jan 4 United Arab Emirates utility Tabreed has raised a 2.6 billion dirham ($707.9 million) seven-year loan facility from three banks, two banking sources familiar with the matter said on Sunday. National Central Cooling Co., Tabreed's formal name, has split the loan into two parts: 1.6 billion dirhams is a term loan which will be repaid at the end of the loan's life, with the rest structured as an amortising facility, which means repayments will be made during the seven years. The Dubai-listed firm will pay a margin of 1.4 percent on the amortising part of the loan and 1.9 percent on the remaining chunk, one of the sources said.

Tabreed, which has 67 district cooling plants across the Gulf, did not respond to Reuters requests for comment. The sources spoke on condition of anonymity as they are not authorised to speak to the media.

The loan was arranged by Abu Dhabi Commercial Bank , First Gulf Bank and Mashreq, the sources said, adding the funding was completed at the very end of 2014.

Abu Dhabi fund Mubadala holds a 13.4 percent stake in Tabreed, with a further 19.9 percent owned by its subsidiary General Investments FZE, according to bourse data. Tabreed's share price fell 1.8 percent on its first day of trading in 2015. It slumped by around 55 percent last year.