NDMC concludes early repurchase deal worth over SAR 35.7 bln

Logo of the National Debt Management Center

The National Debt Management Center (NDMC) completed an early redemption of a portion of the Kingdom's outstanding bonds and sukuk maturing in 2024, 2025 and 2026, valued at more than SAR 35.7 billion.

This is the biggest early repurchase deal to be arranged by NDMC to date.

NDMC also announced a new SAR-denominated sukuk issuance under the Sukuk Issuance Program, amounting to around SAR 35.9 billion.

This initiative extends NDMC's efforts to strengthen the domestic market and keep pace with the market developments that positively reflected on growth of the secondary market’s trading volume.

It will enable NDMC to exercise its role in managing government debt dues and future maturities. The move will also complement other initiatives by NDMC, aimed at enhancing the public fiscal framework in the medium and long terms.

NDMC divided the new sukuk issuances into four tranches worth around SAR 35.9 billion. The first tranche amounts to nearly SAR 7.5 billion maturing in 2031, the second is valued at almost SAR 14.5 billion maturing in 2032, the third is worth SAR 10.8 billion maturing in 2033 and the fourth totals about SAR 3.2 billion maturing in 2038.

The Ministry of Finance (the issuer) and NDMC appointed HSBC Saudi Arabia, SNB Capital, Al Rajhi Capital and AlJazira Capital as joint lead managers on the transaction.