DUBAI, Jan 22 (Reuters) - Saudi Arabia’s National Industrialisation Co (Tasnee) signed a 1.2 billion riyals ($319.4 million) Islamic loan it will use to part-fund buying a further stake in its subsidiary Cristal, the industrial manufacturer said on Thursday.
The five-year murabaha loan - a sharia-compliant cost-plus-profit arrangement - is with Riyad Bank and Saudi British Bank. It has a one-year grace period and the option for a one-year extension, with payment due in equal semi-annual instalments.
In December, Tasnee bought a further 13 percent in Cristal - one of the world’s largest producers of titanium dioxide - for 1.8 billion riyals.
$1 = 3.7570 riyals Reporting by Matt Smith; editing by John Stonestreet