Saudi’s ACWA Power secures $160m of bank financing

Saudi energy firm ACWA Power has secured a SAR600m ($159.9m) increase to its 2015 revolving loan facility, to help fund further projects.

The increase will boost the loan to SAR1.3bn ($349m) and increase the funds at the firm’s disposal via revolving facilities to SAR3.48bn ($929m).

It is available until the third quarter of 2020 and solely funded by Saudi Hollandi Bank and structured on a shariah compliant commodity murabaha structure.

Last week, ACWA secured a SAR400m increase to a 2013 facility through National Commercial Bank and Samba Financial Group.

Read: Saudi’s ACWA Power says raises extra $295.7m of bank finance

“With our rapid growth has come increased business requirements and this facility will help expand our war chest to offer incremental liquidity in anticipation of further projects,” said ACWA Power managing director Thamer Al Sharhan

The previous 2015 facility was based on commitments by Arab National Bank, Bank Al Bilad, and Saudi Hollandi Bank.

ACWA has been selected for a number of major regional power projects including Oman’s 3,319 MW Ibri Sohar-3 power generation scheme.

Read: Mistui, ACWA consortium wins Oman’s largest power project

Mistui, ACWA consortium wins Oman’s largest power project

It was also named as the preferred bidder to build and operate Dubai’s $1.8bn Hassyan clean coal power plant.

Read: Dubai names Harbin, ACWA preferred bidders for clean coal plant