Saudi Arabia plans to issue new US dollar-denominated bonds and sukuk while offering holders the option to buy existing bonds for cash.
According to the London Stock Exchange, the price guide for the new bonds was about 135 points above the US Sukuk and 180 points above the price of traditional US Treasuries.
The Ministry of Finance of Saudi Arabia also extended an offer to holders of the country’s $3 billion 2023 bond, a $2.5 billion bond from April 2025, a $2.5 billion bond from October 2025, and a $5.5 billion bond from 2026. later today after the expected price of the new bonds and Sukuk.
BNP Paribas, Goldman Sachs, and HSBC are global coordinators and joint bookrunners for the debt deal, while Aljazira Capital, Citi, JPMorgan, and Standard Chartered are passive joint lead managers and fund managers.
The amount accepted in the offer will be revealed after the price of the new notes and bonds, expected on Tuesday.
This Monday is the deadline for bondholders to participate in the purchase offer, and indicative results are expected next Tuesday.
Saudi Arabia’s sovereign wealth fund, Public Investment Fund, raised $3 billion in green bonds in its debt market debut earlier this month.