Daily News: April 28, 2014

DP World Said to Seek 33% Price Cut on Debt Facility

Bloomberg reported, according to bankers familiar with the request, that port operator, DP World has asked lenders to cut the price on a five-year credit facility by a third to benefit from falling interest rates.

Bloomberg said DP World, owned by Dubai World, one of the emirate’s three main state-controlled holding companies, is seeking a reduction to 150 basis points over LIBOR, which is down from 225 basis points when the loan was raised in 2012, according to data compiled by Bloomberg.

Bloomberg notes that the company is also requesting that the lenders triple the size of facility to $3 billion as it seeks to benefit from lenders’ excess cash, according to the bankers.

To read the entire Bloomberg story, click here.