Clico Investment Bank (CIB) has been awarded the mandate to arrange the largest single foreign investment in this country in recent years. The US 1.2 billion dollar project will fund Indian conglomerate Essar’s iron and steel complex, carded to establish its operations at the Point Lisas industrial estate.
CIB is currently arranging the financing for the development of the integrated steel complex, which is expected to span several years with a completion date in the year 2009. At present, CIB’s focus is on financing the first phase of the project valued at US 600 million dollars. This phase includes due diligence and evaluation work for an oxide pellet plant and a hot briquetted iron plant. The project will be a syndicated financing facility with a 12-year term. Construction is due to begin early next year, 2006.
As CIB celebrates its 15th anniversary this year, the Bank is proud to once again be chosen as lead manager of one of the country’s most significant foreign investment deals. Bank President, Lennox Archer boasts that this is a testimony of the Bank’s success over the years and a demonstration of confidence in CIB, an indigenous bank, to perform such a role. Archer recalls that very early in the Bank’s establishment, CIB was the first non-bank local financial institution to become co-lead manager, with Credit Suisse First Boston, of two (2) Eurodollar issues. The first was in 1992 in the amount of US100 million dollars, the other in 1993 for US125 million dollars. CIB has also arranged several other issues for Caribbean governments and utilities including Grenada and Guyana.
CIB remains confident that the Essar deal will bring tremendous benefits to the economy of Trinidad and Tobago. |
