Zain KSA extends maturity on loan
Extension is the latest debt roll over by loss making unit of Kuwait's Zain
Zain Saudi has extended the maturity of a $600 million facility until May 1, according to a statement on Saudi Arabia's stock exchange website.
This facility was due to be repaid on April 3, but Zain KSA extended the junior debt with the agreement of a lending syndicate led by Arab National Bank, according to a report from Reuters. The operator, which is a unit of Kuwait's Zain Group, now has about $3bn in loans due to mature in the next four weeks.
Zain Saudi Arabia, which is 37% owned by Kuwait's Zain Group, has made a loss every year since its launch. The unit posted a net loss of SR443 million ($118.1m) for 2012. It has extended the maturity of a SR9bn Islamic loan seven times since last summer, according to Reuters.
However there were some signs of improvement in 2012 as the Saudi unit reduced its net loss by 9% year on year.