Modon Holding closes record AED 13.7 billion syndicated financing, 1.5x oversubscribed

Summary

• Modon Holding closed a AED 13.7 billion unsecured syndicated facility, the largest financing in its history.
• Ten local, regional and international lenders joined, with the deal more than 1.5 times oversubscribed.
• The company said the transaction more than doubles its average debt maturity and strengthens liquidity.

The latest

Abu Dhabi-listed Modon Holding PSC has closed a AED 13.7 billion (USD 3.7 billion) senior unsecured syndicated financing, the largest in the company's history, according to its disclosure to the Abu Dhabi Securities Exchange on Friday. Proceeds will refinance existing facilities and fund the developer's project pipeline. The company said demand from 10 financial institutions pushed coverage past 1.5 times.

Details

• The structure: The facility is split into two tranches, according to the disclosure: a AED 4.7 billion five-year term loan and a AED 9.0 billion revolving credit facility running three years with an option to extend to five. Both sit at the senior unsecured level, with no security pledged.
• The accordion: Modon said the package also carries an aggregate accordion option of AED 4 billion, allowing it to upsize the commitment later without reopening a full syndication process. The company described it as additional financing flexibility rather than drawn capital.
• Conventional and Islamic: The committed facility includes both conventional and Islamic tranches denominated in UAE dirhams and US dollars. Modon said the multi-tranche structure widened the options available to banks, broadened the lender demand base, and gives it more flexibility in allocating capital across its businesses.
• Use of proceeds: Funds will go toward refinancing existing facilities and financing the development project portfolio, the company said. Modon added that the transaction more than doubles its average debt maturity and materially strengthens both liquidity and financial flexibility. No individual project allocations were disclosed.
• The demand: Ten local, regional and international financial institutions participated, including banks new to Modon, and the book was more than 1.5 times covered. The company said that level of participation reflects lender confidence in its platform and in the fundamentals of the UAE economy and property market.
• The lenders: Financing was provided by Abu Dhabi Commercial Bank, Abu Dhabi Islamic Bank, Emirates Islamic and Emirates NBD, First Abu Dhabi Bank, Mashreq, HSBC Bank Middle East Limited, Citi, J.P. Morgan, National Bank of Kuwait and Standard Chartered. Rothschild & Co acted as sole financial adviser.
• The CFO line: Group Chief Financial Officer Matt Matharu called the financing a milestone and a clear endorsement of strategy. He said securing flexible capital at this scale "significantly strengthens our balance sheet" and gives Modon capacity to deliver its project portfolio and pursue new opportunities with discipline.
• The business base: Modon said the lender response reflects the resilience of its diversified operations, spanning real estate, hospitality, asset management, investment, events, catering and tourism. The company framed that mix as the reason its platform drew first-time banking partners alongside existing relationship lenders.

Background

Modon Holding PSC is listed on the Abu Dhabi Securities Exchange and disclosed the transaction through the market's regulated filing channel on 6 November 2026. The company operates across property development and adjacent service businesses in the UAE.

Between the lines

The shape of the package points to balance-sheet management as much as expansion. Two-thirds of the headline figure sits in a revolver rather than a term loan, meaning much of the AED 13.7 billion is standby capacity rather than committed spending, and the AED 4 billion accordion extends that optionality further. Doubling average maturity pushes refinancing risk further out while the pipeline is built.

What's next

Watch Modon's next results for the restated debt maturity profile and leverage figures, and for any disclosure on whether the AED 4 billion accordion is exercised or the revolving facility extended toward its five-year limit.

Source: Modon Holding disclosure, Abu Dhabi Securities Exchange