Islamic Development Bank starts marketing dollar sukuk

The issuance, which is expected to be of benchmark size, is under Islamic Development Bank's $25bln trust certificate issuance programme.

  
An engraved logo of the Islamic Development Bank Group is seen at the door of the bank in Jeddah, Saudi Arabia May 31, 2018.

An engraved logo of the Islamic Development Bank Group is seen at the door of the bank in Jeddah, Saudi Arabia May 31, 2018.

REUTERS/Reem Baeshen

DUBAI - Saudi Arabia's Islamic Development Bank began marketing on Tuesday five-year dollar sukuk, or Islamic bonds, at high-40s basis points (bps) over mid-swaps, an investment note showed.

The bank, rated triple-A by Moody's, S&P and Fitch, has hired Citi, Dubai Islamic Bank, HSBC, Islamic Corporation for the Development of the Private Sector, LBBW, Natixis and Standard Chartered Bank to arrange the potential debt sale, which is expected to close on Wednesday, the note said.

The issuance, which is expected to be of benchmark size, is under Islamic Development Bank's $25 billion trust certificate issuance programme. Benchmark size generally means upwards of $500 million.

(Reporting by Yousef Saba; Editing by Alex Richardson) ((Yousef.Saba@thomsonreuters.com; +971562166204))

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