AD Ports Group Refinances US$2.25 Billion Loan, Securing Lower Finance Costs

AD Ports Group, rated A+ by S&P and AA- by Fitch Ratings, has signed agreements with two UAE banks to refinance its US$2.25 billion syndicated loan.

This move comes after the US Federal Reserve’s recent rate cut, allowing the Abu Dhabi-based logistics facilitator to save up to US$12 million in financing costs over the next year.

The refinancing replaces the initial loan with two new facilities: an US$2.5 billion medium-term facility with a 2.5-year maturity and an US$273 million short-term facility with a 1.5-year tenor. These new agreements also extend debt maturity to 2026 and beyond.

Martin Aarup, CFO of AD Ports Group, stated: “The new refinancing agreements give the Group greater financial flexibility and allow us to significantly lower our financing costs. Additionally, they provide timing flexibility, enabling us to take advantage of the easing interest rates cycle to optimise refinancing in the debt capital markets.”

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