APICO renews SAR 92.1M credit facilities deal with SAIB

Logo of Arabian Plastic Industrial Co. (APICO)

Arabian Plastic Industrial Co. (APICO) said it renewed on Feb. 26 a Shariah-compliant credit facilities agreement with The Saudi Investment Bank (SAIB) at a value of SAR 92.1 million.

In a statement to Tadawul, APICO said the facilities will be used to finance working capital requirements and support the expansion of production lines at Al Kharj plant.

The facilities comprise a SAR 47 million revolving facility for working capital, renewable annually, and SAR 45.1 million one-time CAPEX facility, repayable within 6 years.

Promissory notes covering the full exposure were provided by APICO as a guarantee for the financing.

According to Argaam’s data, APICO signed in March 2023 a credit facilities agreement with SAIB to finance working capital and medium-term loans, at a value of SAR 105.5 million.