Metito receives new $30m financing deal to develop projects in MENA, Asia
Water management solutions provider Metito has received a $30m syndicated loan from Bank of China and International Finance Corporation (IFC) to help expand its essential services in the Middle East, North Africa and Asia regions.
Metito is the first company to obtain long-term financing from Bank of China as part of the IFC B Loan program, a syndicated loan structure that introduces new banking relationships to the borrower.
The investment is part of IFC’s wider efforts to help companies expand into emerging markets, to transfer knowledge and expertise and improve access to essential infrastructure.
The loan will help Metito as it develops water treatment projects across the MENA region and parts of Asia, which will increase the availability of drinking water, improve wastewater treatment infrastructure, reduce waste costs, and decrease health risks to local communities.
“With support from IFC and Bank of China, we’ll be able to embark on new projects, providing quality water treatment solutions in water scarce areas,” said Rami Ghandour, managing director, Metito.
“Access to water is a fundamental challenge to economic development and growth,” said Chunyan Cai, SEO of Bank of China Middle East (Dubai) Limited, covering the MENA area. “With this long-term investment, which is hard to obtain in challenging markets, Bank of China will help support Metito as a leading provider of essential water and wastewater management solutions in water stressed regions.”
“This partnership demonstrates the potential for infrastructure investment in MENA, one of the most water scarce regions in the world,” said Mouayed Makhlouf, IFC regional director for the Middle East and North Africa. “Water scarcity is a global concern and IFC will continue to help boost water efficiency to meet the growing demand.”
Earlier, in June 2013, IFC had provided $50mn in loans to Metito and arranged another $20mn from the German development finance institution, DEG, to strengthen the company’s capital structure and support its expansion.
IFC, a member of the World Bank Group, is the largest global development institution focused exclusively on the private sector. Working with private enterprises in more than 100 countries, IFC uses its capital, expertise, and influence to help eliminate extreme poverty and promote shared prosperity.
Established in 1912, Bank of China provides a full range of financial services in China’s mainland, Hong Kong, Macau and another 31 countries.
Metito is headquartered in Dubai and is active throughout the MENA region, Indonesia, and China. The company also owns and operates six wastewater treatment plants in China, with four more projects under construction.