Middle East Specialised Cables Company Secures $30 Million Sharia-Compliant Financing
📋 Key Takeaway: Middle East Specialised Cables Company has secured AED 110 million in Sharia-compliant financing from Emirates Islamic Bank to support its working capital requirements.
MESC’s New Financing Agreement with Emirates Islamic Bank
Middle East Specialised Cables Company (MESC), listed on the Saudi Stock Exchange, announced on Wednesday that it has secured Sharia-compliant banking facilities amounting to AED 110 million ($30 million) from Emirates Islamic Bank. This financing agreement, signed on 21 January 2026, is intended to bolster MESC’s working capital needs and facilitate the issuance of letters of credit.
The facility was activated on 5 May 2026, and it is set to mature on 21 January 2027. This strategic move aligns with MESC’s ongoing efforts to enhance its financial stability and operational capabilities in a competitive market.
Recent Financing Developments at MESC
MESC has been actively securing various financing arrangements to support its growth and operational needs. In March 2026, the company entered into a SAR 100 million ($27 million) Islamic banking facility agreement with Saudi Awwal Bank (SAB). This facility, which became effective on 13 March 2026, is valid until 10 March 2027 and is also aimed at supporting working capital and the issuance of performance bank guarantees.
Additionally, in April 2026, MESC announced an addendum to an existing financing agreement with Alinma Bank, raising the facility limit from SAR 150 million ($40 million) to SAR 250 million ($67 million). This amended financing arrangement, which was activated on 5 April 2026, will be in effect until 31 August 2028 and is secured by a SAR 275 million promissory note.
Renewal of Existing Facilities
Earlier in January 2026, MESC renewed a SAR 150 million ($40 million) banking facility with Emirates NBD, which is also compliant with Sharia law. This facility was activated on 22 January 2026 and will run until 30 July 2028, providing further financial support for working capital and performance bank guarantees.
These recent financing activities underscore MESC’s proactive approach in securing financial resources to ensure its operational efficiency and growth in the evolving market landscape.
Frequently Asked Questions
What is the purpose of MESC’s new financing?
The financing will be used to support working capital requirements and the issuance of letters of credit.
Who is providing the financing to MESC?
The financing is being provided by Emirates Islamic Bank.
When was the financing agreement signed?
The agreement was signed on 21 January 2026.
What other financing agreements has MESC secured recently?
MESC has secured additional financing from Saudi Awwal Bank and Alinma Bank in recent months.
How does Sharia compliance affect MESC’s financing options?
Sharia compliance ensures that the financial agreements adhere to Islamic law, which prohibits interest-based financing.
