PRESSR: NEOM secures SAR 10bln financing facility as development powers ahead

Apr 28, 202412:23 UTC

Revolving credit facility (RCF) worth SAR 10bn will support short-term financing requirements as NEOM moves forward in the development of major projects, including Trojena, THE LINE, Oxagon, and the soon-to-open luxury island destination, Sindalah

NEOM, Saudi Arabia — NEOM today announced it has secured a new revolving credit facility (RCF) worth SAR 10 billion. It represents another milestone for NEOM as it progresses with the development of major projects and will be used to support NEOM’s short-term financing requirements.

The RCF, which follows a Murabaha structure, reflects a continuation of NEOM’s strategy to diversify its sources of funding.

Nadhmi Al-Nasr, CEO, NEOM, said: “As NEOM continues to gather pace, this new credit facility, backed by Saudi Arabia’s leading financial institutions, is a natural fit within our wider strategy for funding. We continue to explore a variety of funding sources as we deliver transformational infrastructure assets while supporting the wider Vision 2030 program. NEOM is among the largest projects in the world today, and we value the partnership we have with our relationship banks in facilitating access to a range of flexible financing options as we deliver on our ambition.”

The new RCF follows on from the SAR 23 billion agreement signed by NEOM and their partners to finance the NEOM Green Hydrogen Company. It also follows last year’s SAR 3 billion debt financing arranged to partially fund NEOM’s development of Sindalah, the luxury island destination set to welcome visitors this year.

The transaction was targeted at Saudi relationship banks and the facility saw strong interest, with nine banks participating. The mandated lead arrangers are Saudi National Bank, Riyad Bank, and Saudi Awwal Bank. The other participant banks are Al Rajhi Banking and Investment Corporation, Alinma Bank, Arab National Bank, Bank Albilad, The Saudi Investment Bank, and Bank AlJazira.

About NEOM

NEOM is an accelerator of human progress and a vision of what a new future might look like. It is a region in northwest Saudi Arabia on the Red Sea being built from the ground up as a living laboratory – a place where entrepreneurship will chart the course for this new future. It will be a destination and a home for people who dream big and want to be part of building a new model for exceptional livability, creating thriving businesses and reinventing environmental conservation.

NEOM will include hyperconnected, cognitive cities, ports and enterprise zones, research centers, sports and entertainment venues and tourist destinations. As a hub for innovation, entrepreneurs, business leaders and companies will come to research, incubate, and commercialize new technologies and enterprises in groundbreaking ways. Residents of NEOM will embody an international ethos and embrace a culture of exploration, risk-taking and diversity.

For further information email media@NEOM.com or visit www.NEOM.com and www.NEOM.com/en-us/newsroom.

This material is distributed by Teneo Strategy LLC on behalf of NEOM Company. Additional information is available at the Department of Justice, Washington, DC.

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