Orascom Development Egypt Secures $155 Million Loan from IFC

Orascom Development Holding AG announced that its subsidiary, Orascom Development Egypt, has signed a $155 million loan facility with the International Finance Corporation. This financing aims to refinance existing debt and fund growth opportunities for the hotel sector in El Gouna, particularly for the Movenpick Resort and Spa El Gouna. The agreement will also enhance the company's debt profile by reducing credit spreads and extending debt maturity.

The loan includes a 2.5-year grace period and extends over 8.5 years, with repayments starting in late 2027. Interest terms are set at 3.80% over SOFR and 3.87% over Euribor, effectively reducing margins for both USD and Euro portions compared to previous rates.

Group CFO Ashraf Nessim expressed satisfaction, noting the facility will optimize financing terms, reduce capital costs, and support business strategy while maintaining a net debt to adjusted EBITDA ratio below 1.3x.