Bloomberg/Simon Dawson

Sukuk

Saudi Real Estate Refinance Company issues $200 million Sukuk

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The real estate giant seeks to refinance 20 per cent of the Kingdom’s primary home loans market, which authorities hope to expand to SAR 500 billion by 2020 and SAR 800 billion by 2028.

Thursday 14, March 2019 BY KUDAKWASHE MUZORIWA

State-owned Saudi Real Estate Refinance Company (SRC) has issued SAR 750 million ($200 million) Sukuk issue with multiple tenors, the first transaction by a non-sovereign issuer in Saudi Arabia this year.

SRC, a Public Investment Fund-owned firm plans to accelerate housing construction by injecting liquidity into the real estate market.

The issuance falls under a programme established by SRC in December, allowing the firm to issue up to SAR 11 billion of local currency-denominated Islamic bonds.

HSBC Saudi Arabia has been mandated as sole lead manager and bookrunner of the Sukuk programme, reported Reuters.

TAGS : SRC, Public Investment Fund, PIF, Saudi Real Estate Refinance Company, HSBC Saudi Arabia, Sukuk, Real estate

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