Units of Saudi retailer ink $1.2bn financing deals

Saudi shoppers. (Photo for illustrative purposes only)

Saudi shoppers. (Photo for illustrative purposes only)

Two units of Saudi Arabia's Fawaz Alhokair Group have signed sharia-compliant financing facilities worth SR4.6bn ($1.2bn) to fund real estate developments, a statement said.

Arabian Centers Company Limited (ACCL) and Saudi FAS completed deals worth SR2.7bn and SR1.9bn respectively, according to a statement from law firm Latham & Watkins, which advised the firms.

The transactions took almost a year to complete due to the complex structures which have never been used in Saudi before, Muhanad Awad, chief executive of FAS Capital, the financial and investment arm of Alhokair, said in the statement.

Alinma Bank, Gulf International Bank, National Commercial Bank, Samba Financial Group and Saudi Hollandi Bank provided the ACCL facility, with Alinma the sole financier of the Saudi FAS deal, the statement added.

No details of the terms for the financing was provided. King & Spalding was legal counsel to the banks.

Related:

Market Performance

Fawaz Abdulaziz Alhokair and Company
41.8
0.0 0.0 (%)
Join the Discussion

Disclaimer:The view expressed here by our readers are not necessarily shared by Arabian Business, its employees, sponsors or its advertisers.

Please post responsibly. Commenter Rules

  • No comments yet, be the first!

All comments are subject to approval before appearing

Further reading

Features & Analysis
Are the troubles easing for Saudi construction giant Binladin?

Are the troubles easing for Saudi construction giant Binladin?

Gulf kingdom's biggest builder appears to have pulled back from...

Statistics fog raises risk as cheap oil hits Gulf

Statistics fog raises risk as cheap oil hits Gulf

Sharp revision of economic data in Saudi Arabia suggests its...

Why banking in the Gulf will never be the same again

Why banking in the Gulf will never be the same again

New technologies are emerging in banking and finance at a rapid...

Most Discussed
sponsoredTracking