Emaar EC reschedules existing long-term loan worth SAR 976 mln from SABB

Logo of King Abdullah Economic City

Emaar the Economic City Co. (Emaar EC) signed a rescheduling agreement with the Saudi British Bank (SABB) revising the terms of SAR 976.25 million Shariah-compliant outstanding long-term Tawarroq facility.

The original loan amounted to SAR 2 billion, while the total current facilities stood at SAR 1.28 billion with a rescheduled loan amount of SAR 976.25 million, the company said in a bourse statement.

The amended terms of the facility include a grace period up to June 2023 and a repayment starting from June 2023 until December 2029 in semi-annual installments.

Before rescheduling, the financing period was from September 2014 until September 2021, which was amended to be from June 2023 until December 2029.

The step came to facilitate the company’s cash flow position and enhance its ability to move forward with its growth plans, the statement added, noting that the collaterals included lands located within King Abdullah Economic City and a promissory note for the amount of the facilities.

The current facility includes an existing working capital facility amounting to SAR 300 million, which includes short-term Tawarroq, letters of guarantee and letter of credit facilities.