February 23, 2006

CIB'S BILLION DOLLAR STEEL DEAL UPDATE

Clico Investment Bank Limited (CIB) has been inundated with enquiries from several financial institutions indicating their desire to participate in financing the US $1.2 billion dollar Essar Caribbean Steel project. This follows CIB’s mandate to perform the role of lead manager and arranger of financing for the Essar project, one of Trinidad and Tobago’s largest direct foreign investment deals. Hence, CIB is currently arranging financing for the development of the Indian conglomerate’s iron and steel complex scheduled to begin its construction operations soon at Point Lisas, Trinidad.

Already, CIB has distributed the relevant data which includes term sheets and project information to prospective participants in the financing syndicate. Additionally, other due diligence and evaluation work are being carried out by CIB.

Meanwhile, Essar Steel Caribbean Limited is making concerted efforts towards the early implementation of the project. Currently, Essar is assiduously attending to all regulatory and permitting issues, as well as ensuring that environmental concerns are addressed. The steel company has also begun advertising locally for suitable employees to work at the Plant.

Our original news article on the Essar deal appears here.