FIPCO renews SAR 43.6M credit facilities with Riyad Bank

Logo of Filling & Packing Materials Manufacturing Co.

Filling & Packing Materials Manufacturing Co. (FIPCO) renewed a Shariah-compliant credit facility agreement worth SAR 43.61 million with Riyad Bank.

The facilities have tenors ranging from 12 for working capital financing to 48 months for medium term financing, depending on the nature of each financing product and the terms of the agreement, the company said in a statement to Tadawul today, Nov. 2.

It added that promissory notes were issued in favor of Riyad Bank as a guarantee for the financing, in accordance with the facility documents, in addition to other guarantees and undertakings stipulated in the agreement. There are no related parties involved in the agreement.

FIPCO further stated that the facilities will go to funding its working capital requirements and operational activities, including letters of credit, letters of guarantee, and short-term credit facilities, as well as financing the replacement of select machinery and equipment.

It noted that the agreement was concluded on Sept. 30, and the relevant legal procedures and signatures were secured. The final version of the agreement was received via email today.