Kingdom biggest loan provider for industrial projects in GCC

Updated 04 February 2014

Kingdom biggest loan provider for industrial projects in GCC

Saudi Arabia topped the GCC countries in terms of the number and values of loans given to GCC citizens for the establishment of industrial projects in member countries, local media said quoting a recently-published report.
The Saudi governmental financial institutions provided 92 loans worth $1.51 billion (SR5.66 billion), or 92.3 percent of the total values of loans in the GCC countries, the report said.
The number of government-supported loans in the GCC countries stood at 133 valued $1.64 billion (SR6.15 billion) by the end of 2012, the Riyadh-based GCC secretariat general said.
The UAE came second in rank to have the biggest loans provided to citizens at the value exceeding $61 million (SR228.7 million), followed by Qatar at $25 million, Oman $20 million, and Kuwait SR19 million, the report said.
The GCC market has an outstanding gross domestic product (GDP) estimated at $1.6 trillion, foreign trade worth $1.4 trillion in 2012.
This dominance gave it an international appeal to attract investments either from within the GCC or foreign countries, the report said.

Alvarez & Marsal named administrators of UAE’s NMC Healthcare

Updated 24 min 45 sec ago

Alvarez & Marsal named administrators of UAE’s NMC Healthcare

DUBAI: Restructuring consultancy Alvarez & Marsal said on Sunday it had been appointed as administrator of a group of operating businesses related to NMC Healthcare by the Abu Dhabi Global Market Courts.

Richard Fleming and Ben Cairns of Alvarez & Marsal have been appointed as joint administrators, the firm said in an emailed statement, adding the administration process would address the “high levels of debt in the businesses.”

NMC Healthcare’s London-listed holding company NMC Health Plc is already being run by Alvarez & Marsal after going into administration in April following months of turmoil over its finances.

The turnaround specialist said on Sunday the appointment related directly to 36 operating businesses in the United Arab Emirates, but did not apply to businesses outside the country.

The appointment “will also allow the group of entities to secure an additional $325 million financing facility whilst protecting the businesses from creditor action,” Alvarez & Marsal said.

The administrators would lead the financial restructuring of those businesses while the existing NMC management team remained in operational control of the day-to-day running of medical and clinical activities, it said.

NMC Health is the largest private health care provider in the UAE, operating more than 200 facilities including hospitals, clinics and pharmacies.

Its implosion this year amid allegations of fraud and the disclosure of more than $4 billion in hidden debt has left some UAE and overseas lenders with heavy losses and prompted legal battles to try and recover money owed.