Saudi Electricity seeks SAR 3.75B loan: Report

Saudi Electricity Co. is seeking a SAR 3.75 billion ($1 billion) loan to finance new projects, including the expansion of a power plant, Bloomberg reported citing sources.

The credit facility, which will carry a five-year tenor, will see the participation of Sumitomo Mitsui Banking Corp. as the sole mandated lead arranger and bookrunner for the deal, the sources added.

Moreover, the loan facility will be distributed among a group of banks as part of a syndicated facility deal, with an 85 basis points interest margin above overnight rate. The loan proceeds will go for financing the company’s general purposes, the sources stated.