Avalon Pharma lines up $16M SIDF credit facility for working capital
What's the deal? Middle East Pharmaceutical Industries Co., known as Avalon PharmaDealroom has a profile for this one. Try Dealroom →, has signed a SAR 60 million (about $16 million) credit facilities agreement with the Saudi Industrial Development Fund (SIDF)Dealroom has a profile for this one. Try Dealroom →. The two-year facility, disclosed on Tadawul, is intended to finance the company's working capital needs.
How is it secured? Avalon Pharma pledged the fixed assets and land of its Avalon-2 facility and central warehouse — already collateral for existing SIDF medium-term financing — against the new loan. It also provided a promissory note equal to the financing amount.
Why now? The facility adds to a run of working-capital borrowing: Avalon Pharma renewed a SAR 50 million AlinmaDealroom has a profile for this one. Try Dealroom → facility in August and a SAR 104 million Banque Saudi Fransi facility in September. The company said no related parties are involved.
What's the endgame? The borrowing comes as Avalon Pharma expands. First-half 2026 revenue rose 24% to SAR 267 million, and recent partnerships target tirzepatide and complex medicines, including potential local manufacturing in Saudi Arabia.
The signal: This is debt, not an equity round, and the available reports don't tie it to a specific project. But the steady drumbeat of credit lines points to a company funding operations and growth as its revenue climbs.
Read more: argaam.com
Image credit: Generated with Gemini
