The bank said in a statement to the Saudi market (Tadawul) today, Monday, that the issuance is a capital bond for the second tranche, denominated in Saudi riyals and offered for a private offering in the Kingdom.
He explained that the offering value of the first issue of the Sukuk referred to will be determined according to the local program according to the market conditions.
He stated that the starting date of the offering is from July 6, 2020, while the end date of the offering is on the 28th of the same month.
(SABB) indicated that the target group for the issuance are the experienced investors residing in the Kingdom of Saudi Arabia.
He said that the authority responsible for managing the issue is HSBC Saudi Arabia.
He noted that the minimum subscription for the issue is one million riyals, and the offering price of the instrument is one million riyals, with a nominal value of one million riyals.
As for the return on the instrument, it is the prevailing price for Saudi inter-bank lending (SIBOR) for a period of 6 months plus a profit margin (to be determined later).
The instrument has a maturity of 10 years and is refundable within 5 years, depending on market conditions.
Eligibility for redemption is on the due date and early redemption (including the date on which the redemption right was exercised by the bank), as per the terms and conditions of the sukuk.
It is worth noting that the offering may be completed before the end date of the offering shown above, depending on market conditions.
