Thursday, 30 October 2014  -  06 Muharram 1436 H

BSF launches $750m sukuk

Last updated: Wednesday, May 16, 2012 5:17 PM

JEDDAH — Banque Saudi Fransi (BSF), the lender part-owned by Credit Agricole, launched a $750 million five-year Islamic bond Tuesday at the tighter end of price guidance, which indicated strong investor demand for the issue.

Saudi Fransi, the Kingdom’s fifth largest bank by market capitalization, launched the sukuk at a spread of 185 basis points over midswaps, arranging banks said, at the lower end of the range indicated earlier in the day.

It attracted orders worth $4 billion.

Initial price guidance released Monday was 200 basis points over midswaps. The issue would be the Saudi bank’s first sukuk sale under a recently-established $2 billion program.
Dollar-denominated bonds from Saudi Arabia come to market relatively infrequently, and attract substantial demand when they do.

BSF would have benefited from a strong regional bid supporting the deal, allowing the borrower to set a deal size bigger than the standard benchmark of $500 million. — SG/Reuters


  Print   Post Comment
Comment Title
( Characters Left)
All fields must be filled in correctly.
Saudi Gazette welcomes and encourages comments on its news coverage. However, they are subject to moderation.
  • Please make sure your comment is not abusive, defamatory or offensive.
  • Please do not post Spam
  • Please keep the comments on-topic.
  • Please do not post unrelated questions or large chunks of code.
  • And, above all, please be nice to each other - we're trying to have a good conversation here.
Your Name
Your Email
Friend's Name
Friend's Email