Bidaya Home Finance successfully completes its series 2 Sukuk issuance

Riyad Capital acted as the arranger and dealer with respect to the series 2 Sukuk issuance.


RIYADH - Bidaya Home Finance ("Bidaya") has successfully completes its Series 2 Sukuk issuance under the recently established SAR 500 million Sukuk programme (“Sukuk Programme”). The total amount raised in relation to the Series 2 Sukuk was SAR 100 million; closing on December 26, 2018.

“Bidaya remains as the only mortgage finance company in the Kingdom of Saudi Arabia to access the domestic Sukuk market; thus, paving the way for the development of the debt capital markets in the country, in addition to the growth of the mortgage finance industry,” said Bidaya's CEO, Mazin Al Ghunaim. “There was wide appetite for the issuance with participation from a range of investors”

Riyad Capital acted as the Arranger and Dealer with respect to the Series 2 Sukuk issuance.   

Bidaya's Sukuk Programme is aimed at maximizing the utilization of Islamic capital markets, resulting in the diversification of the company's funding sources. It is an unprecedented initiative in the Saudi real estate market and in line with the Saudi Vision 2030 to facilitate homeownership for all Saudi citizens.


About Bidaya:

Bidaya Home Finance was founded and launched as a joint stock company with a total paid-up capital of 900 million Saudi Riyals. Headquartered in Riyadh, Bidaya is licensed under the Saudi Arabian Monetary Agency (SAMA) and offers suite of Shari’ah compliant products to end-users and partners. Bidaya Home Finance has the preeminent composition of shareholders in the home finance space. It is sponsored by the Islamic Corporation for the Development of the Private Sector (ICD – a member of the Islamic Development Bank Group) and the Public Investment Fund (PIF), along with a cross-section of organizations committed to the enablement of home ownership.

The mandates of PIF and ICD are integral to the formation of Bidaya and its social mandate to participate in and improve the enabling of home ownership opportunities to Saudi families. Bidaya will increase access to finance for middle income home buyers across the Kingdom.

Other shareholders include prominent sponsors and promoters in the Kingdom such as Rashed AbdulRahman Al Rashed & Sons Company, Arab Investment Company, Al Othaim Holdings, Manafi International (M.Y. Naghi & Brothers), El Khereiji Investment Company, Manafea Holding Company and Jawahir Investment Co.

About Riyad Capital

Riyad Capital is a Saudi Closed Joint Stock Company with a paid up capital of SAR 200 million, licensed by the Saudi Arabian Capital Market Authority number 07070-37 issued on 19/06/2007 and Commercial Registration number 1010239234.

Riyad Capital is licensed by the Saudi Capital Market Authority to provide securities services such as, principal, agent, underwriting, arranging, advising, and custody.

Believing in the importance of managing wealth and planning for future financial needs, Riyad Capital provides a wide range of investment products and solutions through a team of experts in investment and financial planning, assets management and corporate investment banking.

© Press Release 2019

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