Saudi Aramco markets five-tranche bonds, seeking cash amid cheap oil

Saudi Aramco markets five-tranche bonds, seeking cash amid cheap oil

DUBAI - Saudi Aramco began marketing a five-tranche U.S. dollar-denominated bond sale on Tuesday, as the world's largest oil producer seeks cash after low oil prices dented its finances.The move is part of an onslaught on international debt markets by Gulf issuers seeking to plug finances hit by the pandemic and weak oil prices, which has pushed regional issuance past last year's record to surpass $100 billion again.Aramco needs the money to pay dividends of $37.5 billion for the second half of 2020 and fund its $69.1 billion purchase of 70% of Saudi Basic Industries (SABIC). It raised a loan of $10 billion this year, to be paid by installments until 2028, to back that acquisition. Aramco gave initial price guidance of around 140 basis points (bps) over U.S. Treasuries (UST) for