Egypt’s Madinet Nasr for Housing and Development (MNHD) has agreed on an EGP 1.1 bn syndicated loan, aiming to proceed with plans to pump EGP 12 bn over the next three years into east Cairo’s Sarai and Taj City projects, Invest-Gate reports.

The Commercial International Bank (CIB) will be leading a consortium composed of The United Bank, Arab Investment Bank (AIB), and Egyptian Gulf Bank (EG Bank), in a bid to arrange the seven-year facility for the EGX-listed property company, MNHD said in a regulatory filing on August 27.

The new funding will also contribute to slashing a chunk of the state-run real estate developer’s outstanding receivables at a competitive discount rate, the official statement further added.

On August 24, MNHD approved an EGP 30 mn offer to sell its 98.4%-owned subsidiary, called Nasr Utilities and Installations (NUI), to an unnamed strategic investor, according to a previous bourse filing.

The transaction stipulates almost EGP 4.9 mn for MNHD’s 98.4% stake, while the remainder is debts NUI owes to MNHD, the statement noted, indicating that the offer also covers the purchase of the remaining 1.6% stake in NUI, which is held by MNHD unit, or “El Nasr Civil Works.”