ACWA Power has increased its maiden Revolver facility, structured on a fully Shariah-compliant commodity murabaha basis, by SR1.11 billion, while effectively extending the final maturity date by an additional year. This has been achieved through certain separate facilities:

The 2013 Revolver facility is increased by SR400 million to SR2.18 billion ($580 million) with an additional SR200 million each from the participation of the National Commercial Bank (NCB) and Samba Financial Group. The other two participants in the facility are Banque Saudi Fransi (BSF) as investment agent and the Saudi British Bank (SABB). The facility’s availability period has been extended by one year to 2019 end.

A new five-year revolving corporate facility for SR709 million ($189 million) has been entered into with a club of banks comprising the Arab National Bank (ANB) as mandated lead arranger (MLA), Bank Albilad, also as MLA, and the Saudi Hollandi Bank (SHB) as MLA and investment agent.

The facility’s five-year tenor also dovetails with ACWA Power’s developer-owner-operator business model by serving as the primary stand-by funding.

ACWA Power was advised by Clifford Chance, Riyadh office, while the participant banks were supported by Zeyad S. Khoshaim Law Firm in association with Allen & Overy LLP.

Thamer Al-Sharhan, MD, ACWA Power, commented: “ACWA Power is proud of its Saudi Arabian roots and the successful enhancement of the Revolver facility with a wider group of Saudi banks is testament of their confidence in ACWA Power.”

“Our facility participant banks responded positively to the challenge and have ensured a timely closing,” acknowledged Rajit Nanda, chief investment officer of ACWA Power.

Kashif Rana, chief financial officer at ACWA Power, said: “The unprecedented financial flexibility offered by almost SR3 billion of revolving facilities would help ACWA Power leverage its strong operating cash flows base.”