Loss-making telecom operator Zain Saudi has gained more time - until July 31 - to repay a $2.4bn Islamic loan due on Wednesday, the company said in a bourse statement.
Zain Saudi, 37-percent owned by Kuwait's Zain, said the latest extension was to allow it to finalise a new long-term replacement agreement with lenders, which will be for five years and incur lower costs.
The murabaha facility - a sharia-compliant cost-plus-profit arrangement - was originally due in 2011, but has been put back multiple times.
Zain Saudi, which has yet to make a quarterly net profit since launching services in 2008, earlier this month received government approval to defer payment of licence-related fees that could total around $1.49bn over seven years.
The firm's shares have gained 13.6 percent since it announced the government deal.For all the latest banking and finance news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.
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