RIYADH: In one of the largest private sector financing deals in Saudi Arabia, the Alkhobar-based Rawabi Energy has closed SR7.17 billion ($1.91 billion) worth of multi-currency term and revolving credit facility.
Encompassing both Saudi riyals and US dollars, the firm said the transaction was oversubscribed by 1.33 times the initial order.
The company aims to utilize the capital to further boost its growth plans as well as streamline its existing finances, according to a press release.
“We are delighted to receive this level of support on our debut dual-currency syndicated transaction from the local and regional banking community,” said Abdulaziz Al-Turki, chairman of Rawabi Energy, adding: “This transaction demonstrates the strong partnership we have with our financiers, who have supported our growth over the years and played a key role in positioning Rawabi Energy as a national champion.”
HSBC Saudi Arabia acted as the sole structuring bank, joint global coordinator and global agent as well as facility agent and investment agent.
Additionally, Gulf International Bank and Gulf International Bank Saudi Arabia served as joint global coordinators, mandated lead arrangers, facility agents and security agents.
Mandated lead arrangers included Saudi Awwal Bank, Saudi National Bank and Alinma Bank as well as Riyad Bank, Bank Al Jazira, and Al Rajhi Banking and Investment Corp.
The lending group also included First Abu Dhabi Bank as lead arranger.
“With our industry leadership, commitment and growth plans, we will continue to deliver and achieve, aligning with Saudi Arabia’s Vision 2030,” Ahmed Al-Qadeeb, managing director of Rawabi Energy said.
The transaction highlights Rawabi Energy’s commitment to growing its position by attracting regional banks and US dollar liquidity that will support the company’s long-term plans.
“This transaction demonstrates the robustness and agility of Rawabi Energy,” said Osman Ibrahim, Rawabi Holding Group CEO.
“This financing marks an additional diversification element, unlocks capital and showcases the level of sophistication the group has,” Ibrahim added.
Rawabi Energy, a closed joint stock company, was incorporated in 2020 to consolidate Rawabi Holding Group’s energy services operations into integrated onshore and offshore oil and gas field services.
