Al Rajhi Bank gets CMA nod on SAR 10B debt instruments issue

Logo of Al Rajhi bank

The Capital Market Authority’s (CMA) board approved today, April 30, Al Rajhi Bank’s application for the registration and public offering of debt instruments worth no more than SAR 10 billion as part of the national debt instruments program.

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The prospectus will be published within sufficient time prior to the start of the subscription period. It shall include all relevant information an investor needs to know before making an informed decision, including the financial statements of the issuer and adequate data about its activities and management, in addition to details of the issuance program, the market regulator said.

A subscription decision without reading the prospectus carefully and fully reviewing its content may involve high risks. Therefore, investors should carefully read the document as it contains detailed information about the issuer, offering and risk factors.

If the prospectus proves difficult to understand, it is recommended to consult with an authorized financial advisor prior to making any investment decision, it added.

The CMA’s approval of Al Rajhi Bank’s application should not be considered as a recommendation to subscribe in the offering or the debt instruments of the issuer. It merely means that the legal requirements as per the Capital Market Law and its Implementing Regulations have been met.

The no-objection is valid for six months from its date. It will be deemed cancelled if the offering and listing of the first tranche of the debt instruments issuance is not completed within this period.