3 sources said that Saudi Aramco is about to complete a $ 10 billion loan with a group of about 10 banks as the Saudi oil giant seeks cash liquidity amid a collapse in crude prices.
Sources told Reuters last month that Aramco is collecting the loan to support its acquisition of a 70 percent stake in the Saudi Basic Industries Corporation (SABIC) from the public investment fund in the Kingdom, a deal worth nearly $ 70 billion.
Another source said that while the loan would mostly support the acquisition of SABIC, Aramco may also use the funds for other purposes, including paying dividends.
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The three sources said that about a dozen banks agreed to provide the financing, and that HSBC and Sumitomo Mitsui, the Japanese banking group, made the largest pledges of about $ 1.5 billion each.
The sources added that the loan was agreed upon but has not yet been finalized.
The company pledged to complete the acquisition of a controlling stake in “SABIC” worth $ 69.1 billion by the second quarter of this year.
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