Maaden Aluminium signs SAR 6.7 bln financing contracts with banks

Saudi Arabian Mining Co. (Maaden) said its subsidiary Maaden Aluminium has signed financing agreements worth SAR 6.68 billion ($1.78 billion) with 14 commercial banks and financial institutions, to replace its existing debt, the company said in a statement to Tadawul on Sunday.

The agreements were signed with Al Rajhi Bank, National Commercial Bank (NCB), Riyad Bank, Banque Saudi Fransi, Bank Aljazira, Saudi British Bank (SABB), Bank Albilad, Arab National Bank, Samba Financial Group, Export Development Canada, BNP Paribas (Bahrain and Riyadh branch), First Abu Dhabi Bank, Arab Petroleum Investment Corporation (APICORP), and Natixis.

The company said the murabaha facility for 10 years and will be repaid in 14 semi-annual scheduled instalments, starting March 31, 2021, while the commercial facility for seven years and will be repaid in eight semi-annual scheduled instalments, starting March 31, 2021.

The new facilities are on more favorable terms, reflecting Maaden Aluminium Co. status, as a successful operating company and have been provided without any corporate financial guarantees, Maaden said.

Maaden Aluminium is 74.9 percent owned by Maaden and 25.1 percent owned by US-based Alcoa Corporation, the statement said.