RVR gets USD 40 million loan
Posted: 26 Aug 2011, 16:42
RIFT VALLEY RAILWAYS
Railways Africa On August 23, 2011 In Kenya
The African Development Bank (AfDB) has approved a $US 40 million loan to Rift Valley Railways (RVR).
And according to a Reuters report datelined in Nairobi, “The operator of the Kenya-Uganda railway received a $164 million long-term loan financing on Tuesday [2 August] from six international financiers …. The investment, which is one of the largest in East Africa rail, is aimed at refurbishing the track, buying new wagons and locomotives and replacing information technology systems.
“The six financiers in the project include International Finance Corporation (IFC), KfW of Germany and Equity Bank — Kenya’s biggest bank in customer terms, a statement from IFC said. Egypt-based investment firm Citadel Capital, that has a 51% holding in RVR, said in February that it was to raise $287 million for a five-year upgrading project.
“Karim Sadek, Citadel’s managing director, said an additional $80 million will be raised from shareholders and the rest from internally generated funds.
“Other shareholders in RVR include Kenyan-based infrastructure investment company TransCentury with a 34% and Bomi Holdings of Uganda with 15%. ‘This financing package is the backbone for an ambitious five-year rehabilitation programme that will see RVR make a quantum leap in operating standards,’ said Sadek in the statement.â€
Railways Africa On August 23, 2011 In Kenya
The African Development Bank (AfDB) has approved a $US 40 million loan to Rift Valley Railways (RVR).
And according to a Reuters report datelined in Nairobi, “The operator of the Kenya-Uganda railway received a $164 million long-term loan financing on Tuesday [2 August] from six international financiers …. The investment, which is one of the largest in East Africa rail, is aimed at refurbishing the track, buying new wagons and locomotives and replacing information technology systems.
“The six financiers in the project include International Finance Corporation (IFC), KfW of Germany and Equity Bank — Kenya’s biggest bank in customer terms, a statement from IFC said. Egypt-based investment firm Citadel Capital, that has a 51% holding in RVR, said in February that it was to raise $287 million for a five-year upgrading project.
“Karim Sadek, Citadel’s managing director, said an additional $80 million will be raised from shareholders and the rest from internally generated funds.
“Other shareholders in RVR include Kenyan-based infrastructure investment company TransCentury with a 34% and Bomi Holdings of Uganda with 15%. ‘This financing package is the backbone for an ambitious five-year rehabilitation programme that will see RVR make a quantum leap in operating standards,’ said Sadek in the statement.â€