Saudi Arabia is working with HSBC, JPMorgan and Mitsubishi UFJ Financial Group on the refinancing of its existing USD10bn syndicated loan, said banking sources familiar with the matter. The three lenders have a leading role in the refinancing, which will involve a much larger group of banks. Loan syndication is expected to be completed by mid-February, the sources said. A spokesman for the Saudi debt management office said, “the DMO is coordinating this transaction directly with all financial institutions, and it would be inappropriate to comment further whilst discussions are still ongoing.” The loan refinancing will include a repricing of the debt facility and a maturity extension (to 2023 from 2021). It will include an Islamic finance tranche using a murabaha structure, according to a DMO statement last month. The sources said the size of the loan refinancing had not been determined yet and would depend on how much Saudi Arabia planned to raise in each of the fund-raising exercises on which it was working, including its international bond issuance and domestic sales of local currency sukuk.