The Islamic tawarruq finance, which is valid for five years, is secured by order notes and a waiver for some revenue of projects, according to a bourse disclosure.
Al Babtain Power will use the proceeds of the loan to restructure part of short-term investments and transfer it to long-term financing, which will enlarge the necessary cash flow to fund its needs.
Last October, the firm’s Egyptian unit Al Babtain Power and Telecommunication Company – Egypt inked a $24 million contract with Elsewedy Electric T&D.
In the first nine months (9M) of 2022, the Tadawul-listed company reported net profits after Zakat and tax worth SAR 38.07 million, an annual drop of 9.81% from SAR 42.21 million.
Revenues hiked by 43.89% to SAR 1.51 billion in 9M-22 from SAR 1.04 billion in 9M-21, whereas the earnings per share (EPS) retreated to SAR 0.90 from SAR 1.02.