PHOTO
Asian workers fix a placard at the entrance of al-Riyadh Bank branch which gives services only to women in the Saudi capital 13 July 2004. Saudi women's rights activists are still hoping women will have the vote in upcoming elections, but most admit they probably won't be allowed to join the kingdom's first exercise in democracy. AFP PHOTO/PATRICK BAZ (Photo by PATRICK BAZ / AFP)
Saudi Arabia’s Riyad Bank has started selling US dollar-denominated Additional Tier 1 (AT1) capital sustainable sukuk.
The perpetual non-call 5.5 year sustainable Mudaraba sukuk is being issued through a special purpose vehicle Riyad T1 Sukuk Limited under the bank’s $5 billion Additional Tier 1 Capital Certificate Issuance Programme.
The size of the issuance will depend on market conditions.
Initial price thoughts are in the 6% area, according to LSEG’s capital markets intelligence provider IFR.
BofA Securities, HSBC Bank plc, Kamco Investment Company, Mizuho International plc, Morgan Stanley & Co. International plc, Riyad Capital, SMBC Nikko Capital Markets Limited, Standard Chartered Bank and Warba Bank K.S.C.P.
The proceeds from the issuance will be used to finance and/or refinance, eligible sustainable projects as set out in the bank’s Sustainable Finance Framework.
The sukuk will be listed on the London Stock Exchange.
(Writing by Brinda Darasha; editing by Seban Scaria)
