AD Ports signs agreement to refinance Dh9.17 billion loan, reduces borrowing costs

08/04/2026 06:50 AST

AD Ports has signed an agreement with two UAE banks to refinance its syndicated loan of Dh9.175 billion ($2.5 billion) one year ahead of schedule at more favourable terms, the group said.

The refinancing transaction with First Abu Dhabi Bank and Emirates NBD also includes an additional accordion option of Dh3 billion, and has a tenor of three years, maturing in March 2029.

This syndicated loan replaces the 2.5-year maturity medium-term facility, wherein the port giant initially signed the agreements in September 2024, allowing it to save Dh44 million in finance costs over the subsequent 12 months.

This new facility maintains and extends AD Ports' flexibility to time its return to the debt capital markets in line with its stated strategy to utilise bonds as the main long-term source of funding.

Martin Aarup, AD Ports' Group Chief Financial Officer, said the new agreement will allow the company to optimise financing costs and give them additional flexibility in proactively managing its debt profile.

It will also put the company "in a position to capitalise on more favourable market conditions as they emerge, taking advantage of potential future interest rate-cycle easings to refinance the company's capital needs at competitive rates, in line with our capital structure," he said.

In early March, shortly after the onset of the war, the group said its operations continue despite the regional conflict and the disruption at the Strait of Hormuz. The passageway has been closed by Iran, which said on Wednesday it will allow for a "safe passage" amid ceasefire talks with the United States.

AD Ports' subsidiary, Khalifa Economic Zones Abu Dhabi (KEZAD) Group, has attracted investments worth Dh147 million after bringing in five new projects across industrial and logistics sector. This led to the creation of 500 jobs and a total footprint of over 84,000 square metres.

Khaleej Times