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Bahri Dry Bulk secures financing from Bank Albilad to purchase bulk carriers

Bahri Dry Bulk, a business unit of global transportation and logistics company Bahri, has announced that it has secured a Shariah-compliant funding of SR360 million ($95,986,800) from Bank Albilad to finance the purchase of four new bulk carriers as part of an agreement signed by the company in 2017 with Hyundai Mipo Dockyard (HMD), a member of Hyundai Heavy Industries (HHI) Group.
The credit facility, which will be paid over six months, and has a tenure of 13 years including a three-year grace period, will be used to finance 80 percent of the agreement finalized on Aug. 27, 2017.
The company has provided all the necessary guarantees for obtaining the loan.
“We are pleased to collaborate with Bank Albilad to obtain this Shariah-compliant credit facility for purchasing the four carriers, which we signed in the fourth quarter of 2017 with Hyundai Heavy Industries (HHI) Group, to enable us to cater to the growing demand for the import of essential grains into Saudi Arabia,” said Ali Al-Harbi, CFO of Bahri.
“It also makes us proud that the financing deal with Bank Albilad, which is known for its initiatives to support the Kingdom’s business development and economic growth, contributes toward the concerted efforts made by different sectors in the country to help meet its wide-ranging needs and further cement its pre-eminent position as a global economic powerhouse,” added Al-Harbi.
Nezar Banabeela, the president of Bahri Dry Bulk, said: “The new funding from Bank Albilad is a major milestone for Bahri Dry Bulk as we are keen on expanding our business into new markets in the region and around the globe, to explore new horizons and play a key role in supporting the Kingdom in achieving its national goals.”

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