Saudi Marafiq Signs $1.2 Billion Islamic Loan Accord, SPA Says

Feb. 14 (Bloomberg) -- Saudi Arabia’s Power and Water Utility Company for Jubail and Yanbu, known as Marafiq, signed an agreement with local banks to obtain a 4.5 billion riyal ($1.2 billion) Islamic loan, the official Saudi Press agency reported, citing Chief Executive Officer Thamer al-Sharhan.

The company will use the loan, to be repaid over 15 years, for expansion projects in the industrial cities of Jubail and Yanbu, the Riyadh-based news service said, citing al-Sharhan.

HSBC Holdings Plc and Banque Saudi Fransi helped arrange the Murabaha facility, it said.

To contact the reporter on this story: Mourad Haroutunian in Riyadh at mharoutunian@bloomberg.net

To contact the editor responsible for this story: Shaji Mathew at shajimathew@bloomberg.net