DUBAI May 21 Kuwait-based real estate developer Al Mazaya Holding has restructured part of its debt into a six-year 12 million dinars ($42.6 million) Islamic facility extended by a bank consortium, the company said in a bourse statement on Tuesday.
The restructuring would allow Al Mazaya to reduce its short-term loans by 39 percent, while long term financing would increase by 7 percent, the statement said, without giving precise amounts.
As of December, Mazaya had 130.9 million dinars worth of liabilities, with more than two-thirds of that amount classified as current on its balance sheet.
The firm said 60 percent of the new Islamic facility would be paid on a quarterly basis beginning after a one-year period, with the remaining 40 percent to be paid at maturity.
As a result of the restructuring, 73 percent of all company debt facilities would now be Islamic, the statement said.
Setup in 1998, the firm provides a variety of real estate management and investment services and is listed on the Kuwaiti and Dubai bourses. ($1 = 0.2818 Kuwaiti dinars) (Reporting by Ahmed Hagagy and Bernardo Vizcaino; Editing by Sami Aboudi)