Al Rajhi Bank mulls dollar-denominated sukuk issue

Al Rajhi Bank headquarters

Al Rajhi Bank intends to issue US dollar-denominated sustainable sukuk under its international Sukuk programme established on April 26, 2022, according to a Tadawul statement.  

The offer is expected through a special purpose vehicle to eligible investors locally and internationally.

The offer amount and terms will be determined as per the market conditions, the statement said, adding that the move aims to fulfill the bank’s financial and strategic objectives as per its sustainable finance framework.

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

The lender mandated Al Rajhi Capital, Citigroup Global Markets Ltd, Emirates NBD Bank, Goldman Sachs International, HSBC plc, KFH Capital Investment Co., JP Morgan Securities plc, and Standard Chartered Bank as joint lead managers and bookrunners to the proposed offer.

The issue is subject to the approval of regulatory authorities and in accordance with the applicable laws and regulations.

The statement is not an invitation or offer to purchase, acquire or subscribe to any securities, and it is subject to the terms and conditions of the sustainable sukuk.

The bank will announce further developments in due course as per the relevant rules and regulations.