Amiantit reschedules existing SAR 268 million credit facility with Bank Albilad

Saudi Arabian Amiantit Co. headquarters

Saudi Arabian Amiantit Co. (Amiantit) signed an agreement to reschedule the Islamic banking facility, amounting to SAR 268 million, with Bank Albilad, the company said in a filing to Tadawul today, June 30.

The move will have a positive impact on enhancing the firm's performance during the next period. In addition, it will improve and arrange the company's cashflow and improve its operations, as well as reduce the annual financial charges from SIBOR +3.25% to be SIBOR +1.5%.

Before scheduling, the financing period was Bai Ajel STL (SAR 258.24 million) and Bai Ajel MTL (SAR 9.76 million).

The financing period after scheduling is as follows:

Bai Ajel limit of SAR 268 million (one-off) for 10 years, inclusive of two years grace period repaid on semi-annual instalments and profit to be paid semi-annually during the grace period (last instalment not to exceed Dec. 31, 2031)

Bai Ajel/ letter of credit (LC) Musharakah sub-limit of SAR 80 million to be availed against any repaid instalment from the main limit not exceeding 30% from gross limit to finance working capital requirements through direct purchases of raw material and maintenance CAPEX or issuance of Musharakah LCs (local, international) for a maximum of 12 months, inclusive of LC deferral period.

The company provided a corporate guarantee for the rescheduled financing, the statement noted.

There are no related parties.