Saudi Arabia’s Etihad Etisalat (Mobily) has secured a SAR10bn (US$2.7bn) refinancing agreement with seven local banks which enables it to consolidate existing loans.
The telecoms operator said in a statement to the Saudi Arabian stock exchange…
Saudi Arabia’s Etihad Etisalat (Mobily) has secured a SAR10bn (US$2.7bn) refinancing agreement with seven local banks which enables it to consolidate existing loans.
The telecoms operator said in a statement to the Saudi Arabian stock exchange that the Islamic law-compliant loan refinances the remainders of a SAR10.8bn (US$2.9bn) long-term loan secured in 2007, a SAR1.5bn (US$340m) medium-term loan secured in 2009 and a SAR1.2bn (US$320m) short-term loan secured in 2010.
Mobily said the new loan covers the existing loans 3.5 times and has better terms and conditions, granting access to banking facilities, including credit facilities, of up to SAR10bn in four tranches with tenors ranging from five to seven years.
The company added the financing has a competitive Murabaha Saudi Interbank Offered Rate (SAIBOR) of +0.70% until the end of the repayment period of two of the tranches and of +0.65% thereafter.
The seven banks are: Samba Financial Group, Banque Saudi Fransi, National Commercial Bank, Riyad Bank, Saudi British Bank, Al Rajhi Bank and Saudi Hollandi Bank.
Mobily is Saudi Arabia’s second largest telecom by market capitalisation.
