DUBAI (Reuters) – Abu Dhabi state-owned ADQ has outsourced a small group of banks to a loan of around $ 1 billion in support of a 45% acquisition of commodity trader Louis Dreyfus Co (LDC), three sources familiar with the said case.
ADQ said in November that it signed an agreement to acquire a 45% indirect interest in LDCs, the first external investment in a 169-year history of household goods buyer.
The planned construction financing is likely to be provided by a small group of banks including Emirates NBD, First Bank Abu Dhabi, Intesa Sanpaolo, and Natixis, two of the sources said.
Rothschild is advising ADQ on fundraising, which will expire in the coming weeks, they said.
ADQ and Natixis did not respond to requests for comment. Emirates NBD, Abu Dhabi First Bank, Intesa, and Rothschild declined to comment.
Abu Dhabi has used ADQ more and more to secure strategic assets. The company has Abu Dhabi ports, Abu Dhabi Airport and ADX course operator. It has also built a portfolio of food and agriculture industries and recently participated 22% in Aramex, a Dubai-based courier.
LDC declined to comment on ADQ funding for the contract. They said the timeline for closure remained unchanged, and the deal is expected to remain closed by mid-2021. The WHS did not reveal the price for the contract, but specified that it would be at least $ 800 million. of the money goes towards a $ 1 billion loan to pay LDC which was used to ban the Brazilian sugar and ethanol company Biosev. LDC, one of the world’s largest buyers of agricultural products, agreed a separate deal this month to sell Biosev to Raizen, a joint venture between Royal Dutch Shell Plc and Cosan SA.
Reporting with Davide Barbuscia and Yousef Saba in Dubai, Gus Trompiz in Paris. Edited by Mark Potter