Riyadh, Saudi Arabia: Cenomi Centers, the largest owner, operator and developer of shopping malls and complexes in Saudi Arabia, has secured a Shariah compliant, sustainability-linked financing agreement up to SAR 5.25 billion ($1.39 billion) with a syndicate of top tier banks.
HSBC Saudi Arabia led the arrangement of the syndication, working as the exclusive financial coordinator and lead sustainability coordinator, with participation from Saudi National Bank, Saudi Awwal Bank, Arab National Bank, Commercial Bank of Dubai, Mashreq Bank, and Qatar National Bank, Cenomi said in a statement.
The new arrangements consist of a 12-year term sustainability-linked Murabaha facility in two tranches as well as a revolving four-year renewable Murabaha facility.
The new facilities benefit from improved pricing, and covenants package in comparison to existing facilities, the statement said and added the transaction is linked within the sectors of Real Estate, Lifestyle and Leisure and carries a number of sustainability linked incentives which are aligned with Cenomi Centers’ integral ESG ambitions.
The arrangements will help Cenomi to support its growth plans by contributing towards existing facility repayments and underpinning its capital strategy.
Alison Rehill-Erguven, Cenomi Centers CEO, said, “In addition to providing us with fiscal agility, the arrangements tie closely with our sustainability objectives and vision of creating and maintaining a business model that offers a positive, lasting impact on the communities and landscape in which we operate.”
Cenomi Centers has a portfolio of 22 assets, with circa 5,000 stores strategically located in 10 major Saudi cities.