Arabian Centres looks to top up Islamic bonds deal

Arabian Centres hired Goldman Sachs International and HSBC as joint global coordinators and bookrunners

  
Image used for illustrative purpose.

Image used for illustrative purpose.

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DUBAI - Saudi mall operator Arabian Centres is expected to issue $150 million in Islamic bonds in a reopening of a transaction that raised $650 million in April, according to a bank document seen by Reuters on Tuesday.

The company said in a stock exchange filing it intends to issue U.S. dollar-denominated sukuk that "shall be consolidated and will form part of the same series as the currently outstanding USD 650 Million Sukuk due 2026," without disclosing the size.

Arabian Centres hired Goldman Sachs International and HSBC as joint global coordinators and bookrunners, the bourse filing and the document from one of the banks on the deal showed.

The unsecured sukuk due in October 2026 were sold at 5.625%. They were trading at 4.413% on Tuesday, according to data from Refinitiv's Tradeweb.

Sources had told Reuters that Arabian Centres was planning to raise $500 million in the earlier sale, but the deal was upsized after it drew more than $1.35 billion in orders. 

The planned tap - when an existing transaction is reopened for subscription using the same documentation as before - is subject to market conditions and authorities' approval, Arabian Centres said.

(Reporting by Yousef Saba; editing by Jason Neely, Louise Heavens and Raju Gopalakrishnan) ((Yousef.Saba@thomsonreuters.com; +971562166204; https://twitter.com/YousefSaba))


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