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Riyadh Skyline, Saudi Arabia
Initial price thoughts (IPTs) are out for Saudi Real Estate Refinance Company’s (SRC) debut dual tranche sukuk offering with the three-year certificate priced at Treasuries plus 110 basis points (bps) and the 10-year tranche guided in the T+135 bps area.
The Saudi Public Investment Fund-backed mortgage company is issuing the benchmark US dollar-denominated Regulation S senior unsecured sukuk under the special-purpose vehicle, SRC Sukuk Limited’s $5 billion Trust Certificate Issuance Programme. The certificates are guaranteed by the ministry of finance.
The proceeds will be utilised for general corporate purposes.
Final pricing is expected today with February 27 the settlement date.
Earlier this week, Moody's Ratings assigned provisional long-term (P)A1 backed senior unsecured ratings and provisional long-term (P)Aa3 backed senior unsecured ratings.
(Writing by Brinda Darasha; editing by Seban Scaria)
