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Initial price thoughts (IPTs) are out for state-owned utilities firm Saudi Electricity Co’s (SEC) Regulation S senior unsecured USD-denominated dual-tranche sukuk offering.
The five-year USD benchmark sized sukuk has IPTs in the US Treasuries + 120 basis points (bps) area while the 10-year green sukuk has IPTs in the UST+130 bps area.
Proceeds from the five-year will be used for general corporate purposes, while the 10-year will fund a portfolio of eligible projects as set out in the SEC Group's Green Sukuk Framework .
The profit rate payment schedule is fixed, semi-annual, 30/360.
The certificates will be issued under the Saudi Electricity Sukuk Programme Company’s Trust Certificate Issuance Programme, which is expected to be rated Aa3 by Moody's and A+ by Fitch.
(Writing by Brinda Darasha; editing by Daniel Luiz)
