Tuesday 07, August 2018 by Kudakwashe

Abraaj Fund’s Stanford Marine creditors mulls sale of business

 

UAE-based Stanford Marine Group (SMG) is 51 per cent owned by a fund managed by Abraaj Group and the other 49 per cent is owned by Waha Capital.

  

The creditors of SMG, which has links to embattled private equity firm Abraaj, are in talks with three potential buyers, reported Reuters.

SMG, which operates offshore supply vessels that service the oil and gas industry, was placed under the supervision of banks after it failed to meet the terms of its debt obligations due to financial stress linked to a steep fall in chartering rates.

The firm’s debt problems stem from a $325 million Islamic loan restructuring signed in June 2015 and was provided by a group of banks including Noor Bank, Barwa Bank as well as Ajman Bank, United Arab Bank and Qatar Islamic Bank.

Additionally, First Gulf Bank now part of First Abu Dhabi Bank, also financed the troubled marine firm.

  

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