Abdullah A. M. Al-Khodari Sons Company announces renewal of existing Islamic credit facilities with SAMBA Financial Group amounting to SAR 425 million as per the agreement signed on 25/09/2014.
The purpose of these credit facilities is to provide bonding commitments and to fund capital and working capital requirements for the specific Company projects and general business needs in Islamic financing forms. The credit facilities are comprised of 29% murabaha financing and 71% multi bonds.
The facilities are secured by promissory note and assignment of the contracts proceeds of the financed projects. The credit agreement will expire on 30/11/2014 however the credit limits will mature over the life of the financed projects which ranges between 36 to 60 months. The repayment of the murabaha facilities is made upon collection from respective projects.