Red Sea International signs financing agreement with Rajhi Bank for SAR 330 mln

Red Sea International announced on Sunday the signing of financing facilities contract with the Rajhi Bank of 330 million Saudi riyals.

The company explained Today on Tadawul that it has secured a loan amounting to SAR 250 Million to finance the acquisition of 51% shares of the Fundamental Installation for Electric Work Company Ltd. (First Fix as announced on 12th June 2023 (23/11/1444 H).

The Company indicated that the facilities contract will be valid for till the completion of the acquisition with 7 years repayment.

Guarantees offered for the financing:

1- Pledge shares in a sister company.

2- Pledge of Red Sea International shares in the acquired entity (First Fix).

3- Assignment of project proceeds to cover loan annual repayment amount, including the interest.

4- The company has also provided a Promissory note pursuant to the agreement guaranteed by one of the sister companies.”

The company confirmed the presence of related parties represented by AL Dabagh Holding Group Company, the Al Tanmiah Commercial Group, and Petromin Corporation.