Cairo – Mubasher: Palm Hills Development Co’s board has approved an EGP 485 million financing offer made by Arab African International Bank (AAIB) and Banque Misr to develop the Palm Parks project.
The board has also agreed to all the terms of financing and signed collateral documents and all other documents related to the loan, the property developer said in a filing to the Egyptian Exchange (EGX) on Wednesday.
In August, Palm Hills denied negotiating fresh credit facilities with the National Bank of Egypt (NBE) in a response to what was mentioned in one of the local newspapers.
The company’s board previously agreed to raise authorised, issued, and paid-up capital earlier this month, boosting authorised capital to EGP 10 billion from EGP 6 billion.
The Egyptian real estate firm's board also noded to increase issued capital by EGP 1.53 billion to EGP 6.15 billion from EGP 4.6 billion by inviting major shareholders to a subscription through issuing 769.6 million shares at par value of EGP 2, in addition to the expenses of issuance.
During the first half of 2018, Palm Hills Development reported a 25.9% year-on-year rise in consolidated profits, registering a net profit of EGP 439.9 million, versus EGP 349.3 million including minority shareholders’ rights.
