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Arabica Star Co. announced the renewal of a Shariah-compliant banking facility agreement with Al Rajhi Bank valued at SAR 5 million. According to a statement submitted to the Saudi Exchange (Tadawul), the facility has a tenor of six months and is backed by a promissory note issued by the company in favor of the bank. The funding is specifically allocated to support the company's daily operational cycle and liquidity needs.
Securing working capital through established credit lines with major financial institutions like Al Rajhi Bank provides Arabica Star with stable financial flexibility. This renewed facility ensures uninterrupted operations on the Nomu - Parallel Market, signaling corporate financial health and prudent treasury management to market participants.
For regional investors and Saudi market followers, the agreement highlights ongoing credit demand among small and medium-sized enterprises listed on the Nomu market. Market observers will watch how effectively Arabica Star utilizes this short-term operational liquidity to expand its commercial activities and improve cash flow performance over the next two quarters.
