Middle East Economic Survey

VOL. LIII

No 33

16-Aug-2010

SAUDI ARABIA

SABIC Prepays Over $1Bn Of Innovative Plastics Debt

SABIC Innovative Plastics has prepaid just over $1bn of the debt taken on when it was bought from GE by Saudi Basic Industries Corporation (SABIC) for $11.6bn in 2007. A few weeks ago the company exercised an equity claw back, whereby it was allowed to repay high yield bonds, and this enabled it to take out 35% of the bond debt.

While this tender offer did not include the bank...