Jabal Omar, the Saudi developer, has announced that it has secured a $266.3 million loan from Bank Abilad as part of its capital structure optimisation plan.
According to a filing to Tadawul, the Saudi Stock Exchange, from the developer, these funds will be used for the immediate repayment of $171.6 million in principal and secured interest on an existing loan from the bank. The Saudi group was given the eight-year loan on guarantee over certain real estate assets, with a one-year grace period.
The agreement is part of a capital structure optimisation plan, which aims to improve the company’s funding structure and reduce financing costs, said the statement.
The loan will be repaid in equal semi-annual installments, it concluded
