Al Rajhi Bank plans to issue SAR-denominated Tier 1 sukuk

Logo of Al Rajhi Bank

Al Rajhi Bank announced its intention to issue SAR-denominated Tier 1 sukuk by way of a private placement in Saudi Arabia.

The bank mandated Al Rajhi Capital as the sole lead manager and bookrunner to arrange investor meetings, according to a bourse filing today, Dec. 30.

The board of directors’ approved, on Dec. 15, the issuance and offering of the sukuk, subject to the market conditions, in line with the bank’s financial and strategic needs as deemed appropriate by the bank.

The amount and terms of sukuk offer will be determined based on the market conditions.

The Tier-1 sukuk aims to support Al Rajhi Bank’s capital base and fulfill its financial and strategic requirements.

The offer, which is subject to the approval of the relevant regulatory authorities, will be made in compliance with applicable laws and regulations.

The announcement is not intended as an invitation or offer to purchase, acquire or subscribe to any securities.

Al Rajhi Bank will announce any other relevant material developments in due course.