Riyadh, Asharq Al-Awsat- Mobily has signed an Islamic Financing agreement of about $ 2.875 billion in the largest-ever syndicated Islamic loan to fund its expansion throughout the kingdom of Saudi Arabia.
Banks include Samba, Saudi French Bank with Calyon, Saudi Hollandi Bank with ABN Amro, National Commercial Bank and National Bank of Abu Dhabi.
The huge loan will be devoted to pay the short term debt, and to finance operations and infrastructure expansion. The loan will comply with Islamic concepts on lending on interest.
Mobily obtained the lowest rate of Islamic financing (morabah) ever granted to a telecom company in the Middle East and Africa.
Mobily launched its services in May 2005 and in less than a year since its launch, Mobily’s customers have reached 3.8 millions and more than 6 millions by 2006, a record in the Middle East and North Africa.