Etihad Etisalat Company (Mobily) has announced the signing of a SR7.6 billion ($2 billion) refinancing Murabaha Facility Agreement with a group of Saudi banks, to replace the existing syndicate financing and to reduce costs with better financing terms and conditions.

The refinancing agreement will significantly reduce the cost of debt for the company over the coming few years and it is part of the company management’s continuous efforts to improve liquidity and improve the financing terms and conditions.

“The company’s achievements enabled Mobily to obtain this new refinancing Murabaha facility with lower cost of debt and more favorable terms and conditions, reflecting the continuous improvement of the company’s credit rating and confirming the trust the lenders have in Mobily’s capabilities and the recognition of its achievements,” a statement said.

The Saudi banks part of the agreement include: Riyad Bank (agent), Arab National Bank, Banque Saudi Fransi, Saudi British Bank, and SAMBA Financial Group.

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