Saudi Electricity Company, which is a state-supported company, has obtained its third loan within a period of less than six months with a five-year funding totaling up to $1.5 billion.
Loan Connector reported that the financing would provide an all-in price of 100 basis points through a participation fee of 75bp.
The report stated that the Sumitomo Mitsui Banking Corp would be the lead arranger, bookrunner, and underwriter of the term loan with a base of $1 billion and a greenshoe option to raise the term loan to $1.5 billion. The funds will be applied to general corporate purposes.
The Tadawul-listed company has entered into a $2.85 billion financing settlement with regional and international banks to finance the big projects, such as power generation, transmission, and distribution throughout the kingdom.
However, the Saudi Electricity also settled up to $1 billion five-year loan in September, following the attraction of nearly two dozen lenders in a general syndication.
As part of the deal, Saudi Electric Company, which provides electricity production, transmission, and distribution across the Middle East and North Africa, has intended to surge procurement of Italian goods and services.
The value of guarantees provided under the Push strategy is more than US$15bn, Sace told GTR earlier this year, with untied facilities extended to sovereign borrowers in several countries, including Mexico, Serbia, Côte d’Ivoire, Senegal, and Benin.
The company, which supplies energy to the kingdom, has Saudi Arabia’s sovereign wealth fund, the Public Investment Fund (PIF), as its significant shareholder, with over 74.3 percent stake, with Saudi Aramco holding a 69 percent stake.
