National Building subsidiary signs SAR 91 mln loan restructuring deal

Logo of National Building and Marketing Co.

National Building and Marketing Co.’s (NBM) wholly-owned subsidiary, Ajeej Steel Manufacturing Co., signed an agreement to reschedule an outstanding loan facility of SAR 91 million with The Saudi Industrial Development Fund (SIDF), according to a bourse filing.

The company will restructure a sum of SAR 88.1 million to boost

financial position, in line with the company’s cash flows.

Before the restructuring agreement, the loan tenor would have extended until Dec. 12, 2019 (Hijri: Rabiʽ al-Thani 15, 1441). However, it now extends until Oct. 30, 2023 (Hijri: Rabiʽ al-Thani 15, 1445).

All the credit facility guarantees will be maintained, and the company will provide another guarantee for 100% of the loan value.

A total of SAR 58 million of the loan value has been disbursed so far, the statement added.

Ajeej Steel Manufacturing signed an agreement to obtain the loan from SIDF prior to the acquisition by NBM.