Arabian Centres Co. Announces Obtaining a Shari’a Compliant facilities
| Element List | Explanation |
|---|---|
| Introduction | Arabian Centres Company (the “Company”) announces that it has signed an Islamic term ijara facility and term and revolving murabaha facility agreements with a syndicate of banks. |
| Date of Receiving the Credit Facility | 2019-11-20 Corresponding to 1441-03-23 |
| Financier | Samba Financial Group as Global Agent, Goldman Sachs International, Samba Financial Group, the Saudi British Bank, Abu Dhabi Commercial Bank Pjsc, the National Commercial Bank, Arab National Bank, Al Rajhi Banking and Investment Corporation, Mashreq Al Islami, Islamic Banking Division of Mashreqbank Psc as Book Runners and Mandated Lead Arrangers, Samba Financial Group as Ijara Investment Agent, Samba Financial Group as Murabaha Investment Agent, Samba Financial Group as Security Agent, Samba Financial Group as Account Bank and the Participants named therein. |
| Credit Facility value | Total facility of USD 1.4 Billion (or its SAR equivalent). |
| Credit Facility duration | A) Revolving murabaha facility – 3 years (subject to two one year extension options);
B) Term murabaha tranche B – 12 years;
C) Ijara tranche A – 8 years;
D) Ijara tranche B – 12 years. |
| Guarantees Provided for Credit Facility | Promissory notes and title to the assets being used for the ijara facility (with certain of these assets benefitting all facilities). In addition, the Company will be creating a pledge over certain moveable assets and a mortgage over certain immovable properties in favour of the Financiers. |
| Purpose of the Credit Facility | The amounts utilized under the facilities shall be applied towards:
a) repayment of amounts outstanding under their existing facilities; b) the payment of fees, costs and expenses incurred in connection with the facilities; and c) funding of general corporate purposes of the Group. The Company shall apply all amounts utilized by it under a term murabaha facility and a revolving murabaha facility towards its general corporate and working capital purposes. |
| Related Parties | No related parties on this transaction. |
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