Overview

China Eximbank provides $255 million USD loan for 3G Network Expansion and Equipment Acquisition Project

Commitments (Constant USD, 2023)$327,965,311

Commitment Year•2010Country of Activity•United Arab EmiratesDirect Recipient Country of Incorporation•United Arab EmiratesSector•CommunicationsFlow Type•Loan

Status

Project lifecycle

Pipeline: Commitment

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date: Oct 1, 2010

First repayment (originally scheduled): Sep 30, 2012

Last repayment (originally scheduled): Sep 29, 2017

Geospatial footprint

Map overview

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The project provided a loan to Emirates Integrated Telecommunications Company PJSC (du), whose HQ is located in Dubai, UAE. The address of du HQ is 18 Al Jaddi Street, Al Salam Tower, Al Sufouh 2, Dubai, UAE. More detailed locational information can be found at: https://www.openstreetmap.org/node/4622436789

Stakeholders

Organizations involved in projects and activities supported by financial and in-kind transfers from Chinese government and state-owned entities

Ultimate beneficial owners

At least 25% host country ownership

Funding agencies

State-owned Policy Banks

Export-Import Bank of China (China Eximbank)

Receiving agencies

State-owned companies

Emirates Integrated Telecommunications Company PJSC (du)

Insurance providers

State-owned companies

China Export & Credit Insurance Corporation (Sinosure)

Loan description

China Eximbank provides $255 million USD loan for 3G Network Expansion and Equipment Acquisition Project

Grace period•2 yearsInterest type•UnknownMaturity•7 years

Narrative

Full Description

Project narrative

In October 2010, the Shenzhen Branch of the Export-Import Bank of China signed a $255 million USD (AED 936.3 million) loan agreement with Emirates Integrated Telecommunications Company PJSC (also known as ‘du’). The loan carried the following terms: a maturity period of seven years and a grace period of two years. du purchased credit insurance for the loan from Sinosure. The proceeds of the loan were to be used by du to repay an existing short-term facility of $85 million USD, with the remainder of the funds intended to purchase equipment to expand the company’s 3G network. The loan agreement was designed to enable du to turn its three-year short-term borrowings into a seven-year facility, with a two-year drawdown and five-year repayment plan.

Staff comments

1. Emirates Integrated Telecommunications Company PJSC (“du”) is a state-owned telecommunications company in the UAE. It is 39.5% owned by Emirates Investment Authority, 19.75% by Mubadala Development Company PJSC, 19.5% by Emirates Communications and Technology LLC and the remaining stake by public shareholders. It is listed on the Dubai Financial Market (DFM) and trades under the name du.