Unatrac, the Caterpillar dealer operating in nine countries including Egypt and Iraq, through Mantrac Group, has secured $700m of funding.
The three-year, revolving credit facility with a syndicate of lenders will be used to finance working capital requirements and to refinance existing debt facilities while supporting operational growth.
Unatrac is 100% owned by the Mansour family, founders of one of the largest privately-owned conglomerates in the Middle East and North Africa. It is forecasting revenue growth of 17% this year.
“Unatrac is set for phenomenal growth. This financial year we have forecasted a 17% increase in revenue due to high demand across Africa, the Middle East and Russia in the construction, mining and energy sectors,” said Mohamed Mansour, chairman of Unatrac Holding and Mansour Group.
“These funds will allow us to continue to expand our operations and build the business to meet the growing demand in our markets. As we build for the future, we will continue to focus on our core family values, with our key asset being our people.”
Unatrac is one of the largest Caterpillar dealers globally, selling construction and mining equipment, diesel and natural gas engines, material handling equipment, with exclusive dealership rights in eight countries across Africa, the Middle East, and several regions in Russia, in addition to an export sales office in the United Kingdom.
Last year, Unatrac completed a major group restructure, which saw its shareholders commit $500m in funded equity.
Syndication was launched for $600m and closed approximately two times oversubscribed allowing the facility to be upsized to $700m with all lenders scaled back.
The syndicated finance agreement streamlines Unatrak’s financing arrangements, bringing together existing bilateral lenders and new lenders under one facility. Barclays Bank PLC, Citi and J.P. Morgan Limited have been the global co-ordinators for the new funding, while other mandated lead arrangers include Caterpillar Financial Services (Dubai) and Qatar National Bank Group.