The Bridge Financing Agreement is a crucial financing instrument in the UAE market, designed to provide temporary financing solutions while permanent funding arrangements are being finalized. This agreement type is commonly used in situations such as acquisitions, project financing, or corporate restructuring where immediate funding is required but long-term financing is still being arranged. The document incorporates specific provisions required under UAE law, including compliance with UAE Federal Law No. 18 of 1993 and Central Bank regulations. It typically includes detailed terms regarding the facility amount, drawdown mechanics, security arrangements, repayment provisions, and events of default. The agreement can be structured either conventionally or in compliance with Sharia principles, making it versatile for various financing needs in the UAE market.

1. Parties: Identification of the lender(s) and borrower(s) with full legal names and addresses

2. Background: Context of the bridge financing, including purpose and intended permanent financing

3. Definitions and Interpretation: Key terms used throughout the agreement and rules of interpretation

4. The Facility: Details of the bridge loan facility, including amount, purpose, and availability period

5. Conditions Precedent: Conditions that must be satisfied before drawdown

6. Drawdown: Procedures and requirements for drawing down the facility

7. Interest and Fees: Interest calculation, payment dates, and applicable fees

8. Repayment and Prepayment: Terms for repayment, including mandatory and voluntary prepayment provisions

9. Security: Details of security arrangements and guarantees

10. Representations and Warranties: Standard and transaction-specific representations by the borrower

11. Covenants: Positive and negative obligations of the borrower

12. Events of Default: Circumstances constituting default and consequences

13. Changes to Parties: Rules for assignment and transfer

14. Administration: Payment mechanics, calculations, and notices

15. Governing Law and Jurisdiction: Choice of UAE law and jurisdiction provisions