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Mohammed Hadi Al Rasheed and Partners Co. has secured approval from Saudi Awwal Bank (SAB) to increase its Sharia-compliant credit facilities by SAR 100 million, bringing the total value to SAR 172.39 million. The company has provided a promissory note worth SAR 158.11 million as collateral for the increased facilities. The financing aims to support the company's operational and expansion activities, including the acquisition of Taif Co. The increase in credit facilities is significant for Al Rasheed, as it will enable the company to pursue its strategic objectives, including the acquisition of Taif Co. The deal is also notable for SAB, as it demonstrates the bank's willingness to provide financing to support the growth of Saudi companies. The implications of this deal are positive for Al Rasheed and the broader Saudi economy. The increased access to financing will enable Al Rasheed to invest in its operations and expand its business, which could lead to increased economic activity and job creation. Furthermore, the deal highlights the importance of Sharia-compliant financing in supporting the growth of Saudi companies, and the role that banks like SAB play in providing such financing.
