Kuwait's largest lender Kuwait Finance House has launched $1 billion in dollar-denominated 5-year debut senior Islamic bonds, or sukuk, fixed income news service IFR reported on Wednesday.

KFH set the spread at 105 basis points over U.S. Treasuries, tighter than its guidance of 135 bps earlier in the day, IFR said.

(Reporting by Mohammad Edrees; editing by Jason Neely)