SAIB plans to issue SAR 2 bln Tier 1 sukuk

Saudi Investment Bank headquarters

Saudi Investment Bank (SAIB) plans to issue SAR-denominated Tier 1 sukuk with a total amount not exceeding SAR 2 billion through private placement, the banks said in a bourse filing today, March 17. 

The bank mandated Alistithmar for Financial Securities and Brokerage Co. as the lead manager and bookrunner for the potential offer. 

The amount and terms of the sukuk offer will be determined based on the market conditions. 

The offer, which is subject to the approval of the relevant regulatory authorities, will be made in compliance with applicable laws and regulations. 

The announcement is not intended as an invitation or offer to purchase, acquire or subscribe to any securities. 

 SAIB will announce any other relevant material developments in due course. 

The bank’s board of directors approved, on Jan. 26, the establishment and issuance of the sukuk, in order to enhance the Tier 1 capital and fulfill the bank’s financial and strategic needs.