DUBAI: Saudi Arabia's TAWAL raised US$1.42 billion in Islamic financing to fund the acquisition of the mobile telecommunications infrastructure unit of United Group in Bulgaria, Croatia and Slovenia, parent Saudi Telecom Company (STC) said on Sunday.
TAWAL agreed in April to buy tower infrastructure worth 1.22 billion euros (US$1.34 billion) from United Group in its first foray into Europe's telecoms market.
STC in a regulatory filing said a shariah-compliant bank loan funded the deal, which received necessary approvals and was completed on Aug. 24.
Saudi National Bank, the kingdom's biggest lender contributed US$1.02 billion, of which US$300 million was a bridge loan.
Dubai Islamic Bank and First Abu Dhabi Bank contributed US$250 million and US$150 million respectively.
STC said the financial impact of the transaction will be reflected in its third-quarter earnings.- Reuters