Sixth of October Development & Investment Company S.A.E. “SODIC” (“the Company)” signed a Revolving Credit Facility with Commercial International Bank (CIB) for a total amount of EGP 1.2 billion.
The facility has a tenor of seven years and is backed by receivables representing future instalments for units delivered across SODIC’s diverse projects. The signature of the facility will allow SODIC additional flexibility to monetize its growing portfolio of receivables to finance the ongoing operations of its various projects.
The announcement comes in line with SODIC’s goal to prudently increase its leverage to enhance returns and comes as a testament to SODIC’s solid financial performance, strong cash flows, and liquid balance sheet. SODIC’s leverage remains low, with EGP 3.34 billion of debt outstanding as of 30 September 2023, reflecting a debt-to-equity ratio of 0.42x.