SRC doubles its domestic Sukuk program to SAR 20bln

SRC doubles its domestic Sukuk program to SAR 20bln

Riyadh, Saudi Arabia: – The Saudi Real Estate Refinance Company (SRC) wholly owned by the Public Investment Fund (PIF), announced doubling the total size of its Saudi-Riyal denominated Sukuk program guaranteed by the Kingdom of Saudi Arabia through the Ministry of Finance from SAR 10 billion to SAR 20 billion. This follows the highly successful completion of its SAR 10 billion issuances over 12 months which offered in a fixed profit rate format across a tenor up to10 years.

As part of the increased program, SRC completed its fifth series under the program amounting to SAR 3 billion Sukuk issuance, offered in a fixed profit rate format across a tenor of 10 years, which was distributed to institutional investors. The deal attracted notable demand resulting in an oversubscription of the offering by 1.27 times, at a fixed profit rate, despite highly challenging market conditions.

Fabrice Susini, CEO of SRC, said: “The positive market reaction towards our recent tranche of issuance shows the ongoing momentum built as part of the successful completion of our first domestic Sukuk program in a record timeframe. Despite volatile market conditions, the various tranches under the initial program were significantly oversubscribed, which demonstrates the valuable investor trust in