Saudi Cable doubles sukuk issuance to SAR 600M

Saudi Cable doubled its SAR-denominated, non-convertible sukuk issue from SAR 300 mln

Saudi Cable Co.'s board of directors approved, on Dec. 2, doubling its SAR-denominated, non-convertible sukuk issuance from SAR 300 million to SAR 600 million, according to a Tadawul statement.

The cable producer indicated that the sukuk issuance aims to repay debts and use the surplus, if any, to support its operations, rather than to refinance its existing liabilities, and support its growth and operational stability.

Any substantive developments will be announced in due course, Saudi Cable said, adding that the issuance is pending regulatory approvals.

The capital hike via a SAR 400 million rights issue is conditional on the approval of the Capital Market Authority (CMA), it added.

In November, the cable producer's board approved the issuance of SAR-denominated, non-convertible sukuk worth SAR 300 million through a Shariah-compliant structure combining Murabaha and Mudaraba.