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The Syndicated Loan Agreement is utilized for large-scale financing transactions in Saudi Arabia where multiple lenders combine their resources to provide significant funding to a single borrower. This document is essential when the size of the required financing exceeds the capacity or risk appetite of a single lender, typically in project financing, corporate expansions, or major acquisitions. The agreement must comply with Saudi Arabian law and Shariah principles, incorporating specific SAMA regulations and Islamic banking requirements. It includes detailed provisions covering facility terms, profit mechanisms, security arrangements, representations and warranties, covenants, and events of default. The document also addresses the syndicate's administrative structure, including the roles of facility agent and security agent, and incorporates necessary provisions for secondary market trading of participations.

1. Parties: Identification of borrower, lenders, facility agent, security agent and other parties

2. Background: Context of the facility and key commercial terms agreed

3. Definitions and Interpretation: Comprehensive definitions, including Shariah-compliant terminology and interpretation principles

4. The Facilities: Detailed description of the facilities, including amounts, purpose, and Shariah structure

5. Conditions Precedent: Documents and conditions required before utilization

6. Utilization: Process and requirements for drawing down the facilities

7. Profit Rate and Fees: Shariah-compliant profit rate structure, fees and payment mechanisms

8. Payment Mechanics: Payment procedures, currencies, and tax provisions

9. Market Disruption: Provisions for dealing with market disruption events

10. Increased Costs and Illegality: Provisions for handling increased costs and regulatory changes

11. Representations: Borrower's representations and warranties

12. Information Undertakings: Financial and other information to be provided by borrower

13. General Undertakings: Positive and negative covenants of the borrower

14. Financial Covenants: Financial ratios and tests to be maintained

15. Events of Default: Default triggers and consequences

16. Changes to Parties: Transfer and assignment provisions

17. Role of Administrative Parties: Rights and obligations of facility agent and security agent

18. Sharing Among Finance Parties: Payment sharing and redistribution mechanisms

19. Payment Mechanics: Detailed payment procedures and calculations

20. Governing Law and Enforcement: Saudi law provisions and enforcement mechanisms

21. Shariah Compliance: Explicit provisions ensuring Shariah compliance