Mubasher: The Royal Jordanians Airlines (RJ) drew up a syndicated loan agreement worth $275 million for supporting RJ’s strategic growth plan.

This deal successfully provided a hybrid structure between conventional and Islamic secured syndicated loan to meet the kingdom’s various requirements, said Suleiman Hafez, the chairman of the board. 

The agreement involved seven banks based in Jordan, UAE, and Qatar: they are Mashreq Bank, Arab Bank, Al Khalij Commercial Bank, Dubai Islamic Bank, the Commercial Bank of Qatar, which acts as “mandated lead arrangers”, Arab Jordan Investment Bank, which acts as a “lead arranger”, and Bank Al Etihad as an “arranger”. Meanwhile Mashreq acted as “the sole book-runner” for the transaction, the chairman added.

The Royal Airlines will employ this five-year contract to refinance RJ’s current debts and to enhance strategic growth and plans on the short and medium run.