Banks now to fund speculative property deals. Ruling helps ease developers’ debt burden

The Central Bank (BDL) has issued a ruling that allow banks to provide loans to real estate companies that wish to purchase built properties to help alleviate the debt burden of some real estate developers.

The ruling allows real estate developers that are unable to sell their stock in order to meet bank installments to sell the entire project to a company that has the financial ability to wait for better market conditions.

The construction project of the property to be purchased...

Article details

EIP fully acquires General Cable Egypt. Deal valued at $15 million

Emerging Investment Partners (EIP) has fully acquired General Cable Egypt, said Wassim Heneine, EIP's Managing Director.

The agreement was closed for an undisclosed sum. According to sources close to the deal, the investment included $10 million – $12 million in equity, and the rest in debt from shareholders.

The project involves expanding the production of low-voltage cables, and the possibility of introducing the manufacture of medium-voltage cables, he said.

The compa...

Article details

Fransabank buys stake in Pinpay for $2.5 million. Bank to use the service

Fransabank will invest $2.5 million in Pinpay, a local provider of mobile payment services, said a source close to the deal.

Under the deal, Fransabank will also be using Pinpay's services for its customers. The bank will stop operating the Simba mobile payment application provided by Viamobile.

Fransabank's $2.5 million stake will increase PinPay's capital to LL13 billion ($8.6 million). Pinpay's other shareholders are Bank Audi, Bankmed, and Middle East Venture Partners (MEVP)...

Article details

Moneylenders and NGOs added to watchlist categories. Central Bank tightens noose around money launderers

The Central Bank (BDL) has added three categories of customers to the list of clients that banks and financial institutions should classify according to their risk for money laundering and terrorist financing.

BDL's intermediate circular 421 has identified moneylenders (known locally as credit comptoirs) and non-banking institutions that carry out electronic cash transfers. It also includes charitable organizations, especially newly-established, that do not have clear financing programs ...

Article details

Four banks bidding for local HSBC branches. Fransabank, BLF, BLOM, and Audi have been prequalified

Fransabank and BLF are among the banks seeking to acquire the local operations of HSBC, according to a source close to the deal.

BLOM Bank and Bank Audi are also competing for the deal. HSBC has prequalified four banks only.

The banks are not creating consortia to acquire HSBC Lebanon as groups, so only one bank will win the deal, which is still at the negotiation stage and requires the approval of the Central Bank, the source said.

The move is part of HSBC Holdings' plan ...

Article details