Clifford Chance

Clifford Chance and AS&H advise lender on US$69 million Taif independent sewage treatment plant in Saudi Arabia

Clifford Chance and Abuhimed Alsheikh Alhagbani Law Firm (AS&H) advised Shari'a-compliant lender, Al Rajhi Bank, on the US$69 million (SAR258 million) Islamic debt facility in relation to the Taif independent sewage treatment plant (ISTP) (the Project) in Mecca Province, Saudi Arabia.

The consortium, comprising Cobra Instalciones y Servicios SA and International Water Distribution Company (TAWZEA), reached financial close on the Project on 5 November 2020. The Project is the third asset in Saudi Water Partnership Company's (SWPC) first batch of ISTPs to be put out to tender. It is expected that the Project will start commercial operations in Q3 2022.

A cross-border team from Clifford Chance and AS&H advised Al Rajhi Bank on the Project, comprising lawyers in Abu Dhabi, Dubai, Riyadh, Madrid and Singapore.

The Clifford Chance team was led by partner Mohamed Hamra-Krouha and comprised team members across the United Arab Emirates, Madrid and Singapore. The United Arab Emirates team included Inaamul Laher (Head of Construction, MENA), Cheuk-Yin Cheung (Counsel), Caireen McCluskey (Associate), Suzanne Dand (Associate), Uzair Khan (Associate). The Madrid team included Jose Guardo (Partner), Jose Luis Iriate (Associate) and Irene Rueda (Associate). The Singapore team included Miles Binney (Senior Associate) and Yaru Chia (Associate).

The AS&H team was led by partner Yasser Alhussain and included Ali Moiz Ansari (Senior Associate) and Mohammed Ghazzawi (Associate).

Clifford Chance lead partner Mohamed Hamra-Krouha, comments, "We are delighted to have advised Al Rajhi Bank on the financial close of the Taif ISTP Project in Saudi Arabia. This Project further validates the interests of foreign investors in the Saudi market and demonstrates the ability of the Clifford Chance and AS&H teams working across jurisdictions to successfully deliver a project".