Maaden Phosphate renews SAR 11.5 bln credit on better terms

The Saudi Arabian Mining Co. (Maaden) said its subsidiary, Maaden Phosphate Co. (MPC), on Thursday signed financing agreements with a number of commercial banks and other financial institutions amounting to SAR 11.5 billion to replace an existing debt.

The banks included Al Rajhi Banking and Investment Corporation, The National Commercial Bank (NCB), Riyad Bank, Banque Saudi Fransi (BSF), The Saudi Investment Bank, Saudi British Bank (SABB), The Bank of Tokyo-Mitsubishi UFJ Limited, Export Development Canada, Bank Aljazira, Samba Financial Group, Sumitomo Mitsui Banking Corporation Europe Limited, BNP Paribas (Bahrain Branch) and Natixis.

In a statement to the Saudi bourse, Tadawul, the company said the new debt will replace the existing debt and is on more favorable terms, but didn’t give details of the terms.

 The loans, without any corporate financial guarantees, have a term of seven years and will be repaid in semi-annual installments starting from Feb. 25, 2017.

In November, the company had said it received letters of commitment from the above institutions and that it expects to sign the agreements before the end of the year.

MPC is a limited liability company 70-30 percent co-owned company by Maaden and Saudi Basic Industries Corporation (SABIC).