Saudi Electricity Co. raises $2bln from dual tranche sukuk

Saudi Electricity Co. raises $2bln from dual tranche sukuk

Saudi Electricity Company (SEC) has raised $2 billion from the sale of its US dollar denominated dual-tranche sukuk, or Islamic bonds.

The issuance included a 10-year green or sustainable sukuk tranche of $1.2 billion, and a 30-year conventional sukuk tranche of $800 million, the state-backed utility said in a regulatory filing on Tuesday on Riyadh's Tadawul exchange where its equity shares trade.

The 10-year green tranche was priced at 4.632 % while the 30-year conventional tranche was offered at 5.684%.

The sukuk, which will be listed on the London Stock Exchange, comes under SEC's newly launched international sukuk programme, the kingdom's electric transmission monopoly said.

(Reporting by Brinda Darasha; editing by Seban Scaria)

[email protected]

Disclaimer: This article is provided for informational purposes only. The content does not provide tax, legal or investment advice or opinion regarding the suitability, value or profitability of any particular security, portfolio or investment strategy. Read our full disclaimer policy here.

© ZAWYA 2023