MBPS: first Middle East high yield
The first high
yield deal in the Middle East has been structured with few
carve outs and no intercreditor agreement.
Although debt has been sold in the Middle East
with high yield characteristics in the past, the $320 million
MBPS Finance deal is thought to be the first true high yield
And banks and their lawyers working on the deal
have tried to avoid a "loose start" to covenants in the region
and set a more conservative precedent for issuers.
MBPS Finance Company and MBPS are wholly owned
subsidiaries of Mohamed Al Barwani Holding Company (MB
Holding), a diversified natural resources company with
operations in the Middle East, Europe, Asia and
The primary credit, MBPS, was improved by...