The Saudi Electricity Company, the largest electrical service facility in the Middle East and North Africa, signed a local co-financing agreement worth 9 billion Saudi riyals (equivalent to 2.4 billion US dollars) on Wednesday 26/08/2020 with seven major local banks.
The financing site is medium-term and extends over seven years, and was done without guarantees from the National Commercial Bank, Al-Bilad Bank, Al-Rajhi Bank, Riyad Bank, Samba Financial Group, Banque Saudi Fransi and Saudi British Bank.
Mr. Fahad Al-Sudairy, CEO of the Saudi Electricity Company, commented, “Saudi Electricity is a national facility that provides electrical service to a growing subscriber base that currently approaches 9.8 million subscribers in the Kingdom. The company is constantly working to improve operational efficiency and make a quantum leap in automating its business and improving customer services.” .
Al-Sudairy explained that this financing came as part of the company’s plan to finance its general purposes and capital projects, the most important of which is the smart meters project, improving the reliability of the network and linking new projects, as it will extend the average maturity of the company’s financing mix and it is expected that it will reflect positively on reducing the weighted average cost of our financing.
In conclusion, Al-Sudairy expressed his happiness with the great desire of all major local banks to work with the company and the successful closure of this financing. And that this is a sign of continued confidence from local banks in the Saudi Electricity Company, which has a large and extended asset base throughout the Kingdom that plays a vital and necessary role in supporting and developing its economy, including its sectors.