Dubai Parks and Resorts, a subsidiary of Meraas Holding, said it has secured Dh4.2 billion ($1.15 billion) funding to support its ambitious plan to create the Middle East’s first mega leisure and entertainment destination in Dubai, UAE.

The syndicated financing facilities have been structured by Goldman Sachs, said a statement from Dubai Parks and Resorts.

The company had recently launched its initial public offering (IPO) on the Dubai Financial Market with a total offer size of approximately Dh2.5 billion ($684 million).

The offering, which comprises 2,528,731,083 ordinary shares, represents 40 per cent of Dubai Parks and Resorts’ post-offer issued share capital. The shares are priced at Dh1 ($0.272) per share, plus Dh0.01 per share in offer costs.

The financing facilities were fully underwritten by Goldman Sachs and the financing banks Abu Dhabi Commercial Bank, Ahli United Bank, Commercial Bank International, Emirates NBD Bank and Noor Bank.

This transaction will further support the Dubai Tourism Vision 2020 that seeks to double Dubai’s annual visitor numbers from 10 million in 2012 to 20 million by 2020 and increase the economic contribution of the tourism sector to the UAE’s gross domestic product (GDP), said a top official.

"This is a pivotal transaction for Dubai Parks and Resorts. This financing allows us to deliver on our ambition to create the world’s next great leisure destination and reflects the strength of our strategy, our vision and the quality of our people," stated Raed Al Nuaimi, the CEO of Dubai Parks and Resorts.

Dubai Parks and Resorts had last month unveiled the blueprint of the mega leisure and entertainment destination. The development will comprise Bollywood Parks Dubai, LegoLand Dubai and motiongate Dubai.

It will also host Lapita Hotel, a themed-family hotel. Strategically located in Jebel Ali between Dubai and Abu Dhabi, the mega project is slated for completion in 2016.-TradeArabia News Service