DUBAI, Sept 4 (Reuters) - A unit of Dubai Holding, the investment vehicle of the emirate’s ruler, confirmed on Thursday it is in talks with lenders to raise a syndicated loan, with banking sources indicating the facility could be worth up to 4 billion dirhams ($1.1 billion).
The unit, TECOM Investments, is expected to use the proceeds for its growth plans, while some of the cash would also be diverted to its parent company, one of the sources said.
TECOM confirmed in a statement to Reuters it was seeking to raise a loan facility and the funds would be used to “support future growth opportunities and other strategic objectives”. It declined to comment further.
The company operates 11 business parks in the emirate including the Dubai Media City and Dubai Internet City.
Reporting by Archana Narayanan and Praveen Menon; Editing by David French