Saudi Cable Company will receive a SR160.5m ($42.8m) loan from the Saudi Industrial Development Fund, according to a company statement to the Saudi Stock Exchange (Tadawul) on 4 January.

The fund’s board approved the loan on 27 December 2009.

The company will use the funds to finance the expansion of its power cable plant’s production capacity. This will increase the plant’s capacity from 65,000 tonnes a year (t/y) to 100,000 t/y.

The total cost of the expansion is estimated at SR556.6m. Alongside the loan from the Saudi Industrial Development Fund, Saudi Cable Company will finance the project using equity and bank loans.

The expansion is scheduled to be completed by the end of 2010.