As part of the Company’s strategy of maintaining financial flexibility, Saudi Aramco has signed a new standby revolving credit facilities agreement. The USD 10 billion standby revolving credit facilities agreement replaces the existing USD 4 billion facilities agreement, which was signed in 2010. The facilities are divided into USD and Saudi Riyal (SAR) tranches broken down as follows:
- USD 7 billion, of which USD 6 billion is a 5-year facility with two 1-year extension options (5+1+1) and USD 1 billion is an annually-renewable 364-day facility.
- SAR 11.25 billion (USD 3 billion) consisting of Murabaha facilities, of which SAR 7.5 billion (USD 2 billion) is a 5-year facility with two 1-year extension options (5+1+1) and SAR 3.75 billion (USD 1 billion) is an annually-renewable 364-day facility.
The terms of the new facilities reflect Saudi Aramco’s strong credit standing. The margin for the USD Facilities is 12 and 10 basis points (bps) for the 5-year and 364-Day Facilities respectively, while the margin for the USD 3 Billion Murabaha Facilities is 11 and 9 bps for the 5-year and 364-Day Facilities respectively. This pricing sets a benchmark in the Kingdom and the region and reflects the banking community’s continuing confidence in Saudi Aramco and Saudi Arabia. The USD 7 billion tranche participants are Bank of China Limited (London Branch), Citi, Deutsche Bank, HSBC Bank Middle East Limited, JPMorgan Chase Bank N.A. (Riyadh Branch), Standard Chartered Bank, Sumitomo Mitsui Banking Corporation (SMBC), and The Bank of Tokyo – Mitsubishi UFJ, Ltd. as Book Runners and Mandated Lead Arrangers; BNP Paribas, Crédit Agricole, Mizuho Bank., and RBC Capital Markets as Lead Arrangers; and Abu Dhabi Commercial Bank PJSC, ANZEF Limited, Gulf International Bank B.S.C., National Bank of Abu Dhabi PJSC, National Bank of Kuwait (Jeddah Branch), The Northern Trust Company, and Societe Generale Corporate & Investment Banking as Arrangers. The USD 3 billion Saudi Riyal Murabaha tranche participants are Alinma Bank, Riyad Bank, and The National Commercial Bank as Book Runners and Mandated Lead Arrangers; Banque Saudi Fransi, SAMBA Financial Group and The Saudi British Bank (SABB) as Lead Arrangers; and Arab National Bank and Saudi Hollandi Bank as Arrangers. Riyad Bank was selected as both the Global Facilities Agent and Murabaha Facilities Agent, while The Bank of Tokyo-Mitsubishi UFJ, Ltd. was selected as the USD Facilities Agent. HSBC, JPMorgan Chase Bank N.A. and Riyad Bank were appointed as Global Coordinators. SAMBA Financial Group and SMBC acted as Documentation Coordinators on the Murabaha and USD Facilities, while White & Case acted as legal counsel to Saudi Aramco and Clifford Chance as lenders’ legal counsel.