Saudi Electricity Company (SEC) has raised over USD3.56 billion to support its long-term growth and the development of Saudi Arabia–Egypt electricity interconnection project.
The total financing includes a USD3 billion international syndicated facility (US dollar-denominated) and a USD567.5 million facility from the Export Credit Agency (ECA). With a tenure of five years, the unsecured facility will be obtained from 15 regional and international lenders, including Standard Chartered, HSBC, Intesa Sanpaolo, Mizuho Bank, MUFG Bank, and Sumitomo Mitsui Banking Corporation, among others. It will be used to refinance an existing syndicated facility that was raised in 2017 and fund the company’s capex requirements. Meanwhile, the ECA facility with a 14-year tenure, will primarily be used to finance the interconnection project. Earlier in October 2021, the two countries – Saudi Arabia and Egypt- had signed contracts worth USD1.8 billion to build the transmission interconnection with a capacity to transfer up to 3,000 MW.