UAE-based steel producer Emirates Steel Industries (ESI) has announced that it has secured new credit facilities worth a total of $1.3 billion with 19 local and international banks.
The credit facility will be used to refinance $1.1 billion worth of existing financing that was put in place in 2010 to finance the company's expansion projects, with nearly $263 million being invested in acquiring quality steel assets.
According to Emirates Steel, the company is pushing ahead with its strategic ambitions to realize its expansion goals of producing integrated steel solutions utilizing its highly skilled UAE national employees and producing steel in line with international standards. Emirates Steel said it aims to supply the global markets with "UAE Made" quality steel products. The 2010 financing was put in place to finance the Phase 1 and Phase 2 expansion projects, which pushed up plant capacities in 2012 to 3.5 million mt per year. These projects are now complete and generating solid cash flows.
Emirates Steel operates three bar mills, a wire rod mill and a structural steel mill with a combined capacity of 3.5 million mt per year.