Dubai Islamic Bank arranges $101M to fund DG Khan Cement's Rafhan Maize buyout
What's the deal? Dubai Islamic BankDealroom has a profile for this one. Try Dealroom → (DIB) has completed $101 million in financing for DG Khan Cement Company LimitedDealroom has a profile for this one. Try Dealroom → (DGKC), funding the Nishat Group's acquisition of a majority stake in Rafhan Maize Products CompanyDealroom has a profile for this one. Try Dealroom → Limited (RMPL) from US-based Ingredion IncDealroom has a profile for this one. Try Dealroom →.
How is it structured? The debt facility is US$65.4M Commodity Murabaha, a Shariah-compliant financing instrument. DIB acted as sole mandated lead advisor, Shariah advisor, arranger, and financier on the transaction.
Who else was involved? Dada Partners served as buy-side M&A advisor. Mohsin Tayebaly & Co. acted as Pakistani law legal counsel, while Hogan Lovells served as English law legal counsel.
What's the endgame? The financing lets the Nishat Group — DGKC's parent — expand beyond cement into corn milling by taking control of RMPL. "This milestone represents another significant achievement for DIB's Investment Banking team," said Muhammad Ali Gulfaraz, chief executive officer of DIB Pakistan, adding that the deal supports "clients in executing transformational transactions while remaining fully compliant with the principles of Islamic finance."
The signal: The deal shows Islamic banks structuring large, complex acquisition financing for Pakistan's leading corporates. It positions DIB as a cross-border player able to combine local market expertise with Shariah-compliant products for high-value M&A.
Read more: News Update Times
Image credit: DFID - UK Department for International Development
