Leejam extends, raises Emirates NBD credit facilities to SAR 350M

Leejam increases limit of Shariah-compliant credit facilities with Emirates NBD

Leejam Sports Co. said it signed an agreement on Feb. 2 to extend and increase the limits of its Shariah-compliant credit facilities with Emirates NBD to SAR 350 million.

In a statement to Tadawul, Leejam said the facilities include SAR 200 million in medium-term Murabaha financing to fund capital and investment expenditures related to future expansion plans, as well as SAR 150 million in short-term facilities and multiple letters of credit to meet working capital requirements.

The tenor of the medium-term facilities, upon drawdown, is four years, including a one-year grace period, while the short-term loan has a tenor of three months, and the letters of credit have a tenor of one year.

The guarantees provided against the facilities consist of a promissory notes equivalent to the value of the facilities, the statement noted, adding that there are no related parties.