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Saudi Arabia’s Public Investment Fund (PIF) has set IPTs for its dollar-denominated 10-year Regulation S benchmark sukuk in the +120 bps area over US Treasuries.
The senior unsecured wakala structure has an expected rating of Aa3 / A+ (Moody’s/Fitch), in line with the Saudi sovereign wealth fund’s own rating.
PIF has been listed as the sukuk obliger, with SUCI Second Investment Company named trustee.
Abu Dhabi Commercial Bank, Abu Dhabi Islamic Bank, Bank of China, Dubai Islamic Bank, ENBD, First Abu Dhabi Bank, GIB Capital, HSBC, ICBC, Mashreq Bank, Sharjah Islamic Bank have been mandated as joint lead managers and joint bookrunners. Citi, JP Morgan and Standard Chartered Bank are global coordinators on the issuance.
The sukuk will list on the London Stock Exchange’s International Securities Market.
Saudi Arabia and the UAE have led a wave of bond and sukuk issuances in the region, with issuance from the Middle East and Turkey crossing $31 billion in the first two weeks of January.
(Writing by Bindu Rai, editing by Seban Scaria)
