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Rawabi Holding Company Credit Rating was raised by both the international Rating Agency “Capital Intelligence Rating” and The National Rating Agency (Tassnief), to (‘saA’ and ‘saA1’) and (A-) respectively.
The Credit Rating improvement confirms the solid standing and financial discipline the group follows and delivery of key financial strength points.
On November 12, 2023, and as an outcome of the company and its Sukuk rating improvement, , Rawabi Holding Company (“Rawabi” or the “Company”) successfully concluded one of its Sukuk issuances for SAR 460 million, following its largest ever Sukuk issuance for SAR 875 million since first establishing the Sukuk programme in 2020.
Since establishing its Sukuk programme in 2020, Rawabi has issued approximately SAR 5.4 billion of Sukuk across 15 tranches and redeemed6 tranches totaling approximately SAR 2.5 billion. The Company’s strong track record of Saudi Riyal (“SAR”)-denominated Sukuk issuances, including refinancing maturing Sukuk, highlights Rawabi’s distinction as a frequent regular issuer in the growing SAR debt capital and fixed income markets (DCM).
The strong investor support from both existing and new investors for Rawabi’s Sukuk issuances is a testament to the strength of Rawabi’s credit story, its leading position in the region’s oilfield services and maritime market, and its ability to further diversify its sources of funding by accessing the debt capital markets (DCM) in line with the Kingdom’s Vision 2023, which aims to increase the depth of the Capital Markets, especially on the Debt side.
Ahmad Al-Shubbar, Chief Financial Officer, at Rawabi said: “The investor base of Rawabi Holding’s Sukuk Issuances is seen as the most diverse Local Currency Fixed Rate base and Privately Placed Sukuk, evidenced by having:
- 53% of the Investors are Asset Managers and Funds
- 21% Bank Treasuries
- 11% Wealth Management
- 12% Corporate and Agencies
- 3% Insurance, Awqaf and Endowments
Its worth noting that the latest issuance was announced and completed within 7 business days, and the satisfactory orderbook allowed the company to upsize the issuance by 30% to attend to the demand of investors.
Albilad Capital, Alinma Investment Company, Alrajhi Capital, GIB Capital and Riyad Capital, acted as joint lead managers and bookrunners for the issuances during 2023. Simmons & Simmons Middle East LLP acted as transaction adviser.
Established in Saudi Arabia, Rawabi Holding is a leading conglomerate, offering unparalleled services to diverse core sectors such as Energy, Contracting and Industrial services sectors, and other services including Real Estate and Investments..
With a track record of sustained growth over decades, we are unwavering in our pursuit of excellence. Our dedicated team, driven by passion and commitment, leaves a lasting and positive impact across all that we undertake.
Rawabi Holding is on a mission to create positive value and impact across industries and communities through technical excellence, empowered people, and progressive thinking.
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For more information, for more information visit www.rawabi.com.