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Logo of Al-Jouf Agricultural Development Co.
Al-Jouf Agricultural Development Co. signed a loan agreement with the Agricultural Development Fund (ADF) for SAR 186 million on Feb. 16, according to a bourse statement.
The funding is aimed to aid with the establishment of the new French fries factory.
The financing duration spans 10 years, with 10 annual instalments starting on Feb. 7, 2025, and ending Feb. 7, 2034, according to payment schedule with ADF.
As guarantee, Al-Jouf Agricultrural offered to mortgage a part of the company’s land and the fixed assets of the new French fries project.
There are no related parties, the statement noted.
In December 2020, Al-Jouf Agricultural’s board of directors approved the establishment of a French fries factory at a total investment cost of SAR 70 million, Argaam reported.
Al-Jouf Agricultural later announced that the construction at its French fries factory had not yet commenced, and said it expected the project to be complete in the third quarter of 2023.
Moreover, the project cost changed from SAR 70 million to SAR 192 million, in light of the market needs, the company said.
Related News
Al-Jouf Agricultural expects French fries factory completion in Q3 2023, cost rises to SAR 192 mln |
Al-Jouf Agricultural approves SAR 70 mln French fries factory |
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