The short-term Islamic financing facility is renewable for an additional six months after the conclusion of the initial 12-month period.

The new financing will be used to expand and upgrade Mobily's current data communication infrastructure to grow Mobily's mobile and fixed broadband business in line with the company's strategic growth, efficiency and differentiation (GED) objectives.

Additionally, Mobily will continue to grow the reach of its Saudi National Fiberoptic Network (SNFN), which ties the Kingdom's major cities together and reaches some intercity locations with 20,000 km worth of state of the art infrastructure.

Mobily sees the potential of the Kingdom's telecom market, growing Smartphone popularity and demand, a young population fascinated with new technologies and able to incorporate these technologies in their day-to-day lives.

Mobily believes that demand for data communication services will continue to grow with the growth of the population. Furthermore, government spending on smart and economic cities is also expected to increase demand for telecom and data communication services.

Worth noting is the company's low cost of financing, strong cash flow and financial position.

The increase in Mobily's earnings before interest, tax, depreciation and amortization (EBITDA) and decrease in its net debt have resulted in a net Debt/EBITDA ratio of 1.14 at the end of Q3, 2010.