Mobily inks SAR 1.1 bln facility with European ECAs

Etihad Etisalat Co. (Mobily) signed on Dec. 4 a 10-year credit facility worth around SAR 1.1 billion with several export credit agencies (ECAs) to upgrade its network, the telco said in a statement to Tadawul.

The creditors include Deutsche Bank (DB), JP Morgan (JPM), the Swedish Export Credit Corporation (SEK) and Finnish Export Credit ltd (FEC).

The firm will use the facility to partially finance new network equipment, as a part of the network modernization agreement signed in Aug. 2017 with Nokia, Huwawei and Ericsson, the statement said.

The move comes as part of Mobily’s strategy to diversify its debt portfolio and reduce funding cost, it said.

The deal has no related parties.