Sipchem Unit Inks Sar1.4 Bln Loan To Help Fund Plant In Jubail

(Zawya)–International Polymers Co., an affiliate of Saudi International Petrochemical Co. (2310), or Sipchem , has signed for an Islamic loan of 1.4 billion Saudi riyals ($375 million) with four local banks to help finance a petrochemical plant now under construction in Jubail.

Riyad Bank, National Commercial Bank, Saudi Hollandi Bank and Saudi British Bank are providing the loan and bridge facilities, Sipchem said in a statement posted on the Saudi bourse website Saturday.

The loan, which is secured by sponsors guarantees until project completion, is repayable after 2.5 years in semi-annual installments, the statement added.