03/11/05 Firm to open pallet factory

MANAMA: A Bermuda-based company plans to open a pallet factory in Bahrain towards the end of next year, it was announced yesterday.

Bermuda-based PVAXX announced the closing of a $25 million financing facility with Merrill Lynch.

It will primarily be used for the completion of the company's newly acquired headquarters located in Jebel Ali Free Zone (JAFZ), UAE, and to finance pilot facilities in Bahrain, the UAE, Sohar in Oman and Corpus Christi, Texas, US.

The Bahrain factory will be in Hidd, says the company.

"We are delighted to have received this financing facility from Merrill Lynch, which provides the final critical component of coming online in a timely fashion that will allow for us to commence delivering pallets to our customers throughout the world," said company chairman John O'Doherty. Persico Spa has been contracted to design state-of-the-art rotational moulding machines for the company.Serco (Middle East) will provide project review and facility management expertise and Saudi Consulting Services subsidiary INMA Bahrain is increasing its investment in PVAXX by providing lump sum turnkey facilities as required by the company.

ABC loan deal

MANAMA: Iceland-based IceSing yesterday signed a facility agreement with Arab Banking Corporation (ABC) in Bahrain, allowing the company to finance the acquisition of a 1997 Boeing 747-400F freighter aircraft. The aircraft was previously owned and operated by the Singapore Airlines Cargo.

The total loan facility is worth $67 million and is likely to be made available for participation by other financial institutions in a limited syndication to be launched shortly.