Arabian Centres’ USD 500 Million Sukuk Marks Saudi Arabia’s First 2021 International Corporate Bond Issuance

Saudi Arabian mall operator Arabian Centres (the company), is planning a Sukuk issuance of USD 500 million, according to media reports. The proceeds of this planned issuance are to be used to refinance outstanding debt and to support Arabian Centres’ expansion plans. In 2019, the company went public, with an SAR 2.8 billion initial public offering (IPO), making its debut in the international Sukuk market the same year with a USD 500 million issuance.

Why it matters?

This would be the first Saudi Arabian-based corporate international bond issuance for 2021. The planned deal follows a flood of transactions from mainly governments and banks in the Gulf region in 2021, with borrowers taking advantage of low rates...