Saudi Arabia’s Rawabi Energy successfully concludes financing deal worth $1.91 bln

Rawabi Energy and its subsidiaries announced on Sunday the successful conclusion of one of the largest private sector syndicated financing in the Kingdom of Saudi Arabia with the financial close of $1.91 billion ( 7.175 billion Saudi riyals) multi-currency and revolving credit facility.

The syndicated financing facility in Saudi riyal and US dollar the company said the transaction was oversubscribed by 1.33 times the initial order, according to a press release.

The company said the transaction also highlights the investor trust in Rawabi Energy and Rawabi Holding Group, underpinned by strong fundamentals and exceptional expertise in the energy sector and other sectors. Several national and regional banks successfully arranged, structured, and concluded the market clearing structure and syndication strategy for Rawabi Energy.

Abdulaziz Ali AlTurki, Rawabi Holding Group Chairman and the Chairman of Rawabi Energy, said: “We are delighted to receive this level of support on our debut dual-currency syndicated transaction from the local and regional banking community. This transaction demonstrates the strong partnership we have with our financiers, who have supported our growth over the years and played a key role in positioning Rawabi Energy as a national champion, aligning with our wise leadership’s limitless ambitions.”

“ As a major player in the energy services sector, we have committed our resources toward sustainable growth, best in class quality, and technology leadership. This financing marks an additional diversification element, unlocks capital, and showcases the level of sophistication the group has,” said Osman Ibrahim, Rawabi Holding Vice Chairman and Group CEO and Rawabi Energy Vice Chairman.

Ahmed Alqadeeb, Managing Director of Rawabi Energy, Ahmed Alqadeeb, added: “Rawabi Energy plays a vital role in supporting the Oil & Gas sector in Saudi Arabia while being totally aligned with the Kingdom’s sustainability targets. With our industry leadership, commitment, and growth plans, we will continue to deliver and achieve, aligning with Saudi Arabia’s Vision 2030. It is important to maintain a prudent financial policy and captive capital structure. This transaction streamlines our existing finances and provides us with the required funding for further growth.”

Ahmad AlShubbar, the Group VP of Treasury & Strategy, Board Member of Rawabi Energy, said: “The group has shown its ability to fund its operations throughout the economic cycles, thanks to the level of transparency, strict corporate governance, management agility and resilience of the business. After successfully tapping the debt capital markets, today we take a step further and tap the loans capital markets with a groundbreaking debut syndicated facility which received a remarkable level of demand and achieved our transaction objectives.”

Rawabi Energy, a closed joint stock company, was incorporated in Al Khobar in 2020 to consolidate Rawabi Holding Group’s Energy Services operations into an integrated onshore and offshore oil and gas field services. Rawabi Energy provides services to its strategic clients, the national and international oil companies.

Rawabi Energy company comprises of Rawabi Vallianz Offshore Services (RVOS), Rawabi Oil & Gas (ROG), and United Safety Limited in Canada, to name a few, and has interests in several other international entities.