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Fawaz Abdulaziz Alhokair Co. (Cenomi Retail) has signed 1.58 billion ($421 million) Saudi riyals in term loan agreements with Emirates NBD Saudi Arabia, which is equivalent to the drawn amount under a credit facility agreement signed in September, amounting to SAR 1.6 billion.
Cenomi Retail said two promissory notes will be provided, equivalent to SAR 1.68 billion, with Al Futtaim Private Company LLC providing a corporate guarantee for an amount of SAR 1.58 billion in exchange for an agreed fee.
The financing agreement has a three-year tenure, with an option to extend for another two years, at the bank’s discretion. Cenomi Retail said the move aims to refinance its existing short-term loan.
Al Futtaim Private is an affiliate of Al-Futtaim Retail Company, a UAE-based conglomerate, which acquired a 49.95% stake in Cenomi Retail in a deal worth more than 2.5 billion riyals ($667 million).
(Writing by Bindu Rai, editing by Seban Scaria)
