Riyadh – Mubasher: Advanced Petrochemical Company has entered into a sharia-compliant Murabaha credit facility agreement on 9 July with Riyadh Bank, Samba Financial Group, and Al Rajhi Bank.

The loan is valued at SAR 1.5 billion, however, utilisation of this facility will be based on actual drawdowns in line with the financing requirements, according to a stock exchange disclosure on Sunday.

The signing came despite the current difficult times due to the COVID-19 pandemic and the slowing comprehensive global economy, emphasising the lenders’ confidence in Advanced Petrochemical’s capabilities and achievements.

Furthermore, the loan term is extended over five years and a half. The credit facility, guaranteed by a promissory note, will finance future expansion projects of the petrochemical firm and its subsidiaries.