Cairo – Mubasher: Beltone Financial Holding announced that its shareholders had approved signing a contract to obtain a subordinated loan worth $1.55 million from Orascom Investment Holding (OIH).

With an annual interest rate of 10.52%, the loan will be due in three months as of the date of withdrawal of each tranche or the completion of Beltone’s capital raise, whichever is earlier, according to a statement to the Egyptian Exchange (EGX) on Sunday.

It is noteworthy that the contract has been approved after OIH, a shareholder in Beltone, abstained from voting on the decision.

In addition, Belton’s shareholders also approved increasing the company’s issued capital to EGP 898.4 million from EGP 338.08 million.

In July, OIH’s board of directors approved granting an interest-free loan worth $1.55 million to Beltone Financial Holding to finance the capital increase of Auerbach Grayson & Company LLC.

During the first quarter of 2019, Beltone Financial turned to losses of EGP 23.19 million, versus a profit of about EGP 760,220 in the year-ago period.