Maaden renews Murabaha revolving loan for 5 years, raises funding value to SAR 11.25 bln

Saudi Arabian Mining Co. (Maaden) building

Saudi Arabian Mining Co. (Maaden) signed today, Dec. 18, a renewal and a five-year extension of its Murabaha revolving credit facility, which was previously renewed on Dec. 13, 2017.

The facility, which is currently undrawn, was increased from SAR 7.50 billion to SAR 11.25 billion to reduce the risk of commodity price downturn, strengthen the company’s liquidity and support future growth projects, it said in a statement on Tadawul.

The funding aims at financing general corporate purposes, including financing working capital and buffering any liquidity constraints.

The financing entities are Saudi National Bank (SNB), Banque Saudi Fransi, Al Rajhi Bank, Saudi British Bank (SABB), Gulf International Bank, Riyad Bank, Bank AlJazira and Arab National Bank (ANB), the statement added.

No related parties are included in the transaction.

On Dec. 18, 2012, Maaden signed a SAR 9 billion Murabaha revolving loan agreement for five years.

The credit facility was then extended for five more years on Dec. 13. 2017, with the funding value cut to SAR 7.5 billion.