Al-Khodari renews Islamic credit facilities with Banque Saudi Fransi

Abdullah A. M. Al-Khodari Sons on Monday signed a renewal agreement for its Islamic credit facilities with Banque Saudi Fransi (BSF) for an amount of SAR 204.54 million, the company said in a statement on Tadawul.

The facilities are used towards funding the working capital and capex requirements of the company, it added.

While 38 percent of the facilities are funded under Murabaha/Tawarroq modes of financing, the remaining 62 percent are multi-purpose bonds.

The credit agreement expires on Jan. 31, 2018, however, credit limits will mature over the contractual term of 18 months for financed projects, the statement added.

Repayment will be in monthly installments of SAR 1 million to SAR 2 million. The facilities are secured by promissory notes and assignment of the contract proceeds of the financed projects.