PIF’s Saudi Real Estate Refinance Company issues $1.07bn sukuk

PIF’s Saudi Real Estate Refinance Company issues $1.07bn sukuk

Published 10 Mar,2021 via Arab News - Economy RIYADH - The Saudi Real Estate Refinance Company (SRC) has announced SR4 billion ($1.07 billion) in long-term sukuk issuances, providing liquidity to the Kingdom's housing market.

The real estate finance company, owned by the Public Investment Fund (PIF), recently launched a SR10 billion sukuk program targeting local investors.

The latest issuance was offered in seven- and 10-year tenors and was part of a private offering to Saudi-based institutional investors.

“The successful Sukuk issuance demonstrates confidence among the investor community and trust in a robust housing market in the Kingdom and more broadly a resilient Saudi economy,” Majed Al-Hogail, the minister of housing and chairman of the SRC, said in a statement.

Al-Hogail said the sukuk program will help the Kingdom achieve its housing goals under Vision 2030, where mortgages are more affordable and accessible to Saudi citizens.

“The latest sovereign-guaranteed offering, underpinned by favorable cost of funding and terms, will further provide liquidity