Incumbent Saudi Telecom (STC) has issued its debut Islamic bond offering worth SR2bn (US$533.3m) under a recently-established SR5bn (US$1.33bn) sukuk programme.
The notes mature in June 2024 and carry a floating rate of 70bps over 3M Sibor, the company…
Incumbent Saudi Telecom (STC) has issued its debut Islamic bond offering worth SR2bn (US$533.3m) under a recently-established SR5bn (US$1.33bn) sukuk programme.
The notes mature in June 2024 and carry a floating rate of 70bps over 3M Sibor, the company said in a stock exchange notice.
Its very first sukuk issuance was almost two times oversubscribed and investors include government institutions, banks, asset managers and insurance companies.
STC established an Islamic bond programme to draw a maximum SR5bn (US$1.33bn) in late May. JP Morgan, Standard Chartered and the National Commercial Bank were picked to arrange both the programme and the offering.
The operator, which could not be reached for comments, did not disclose how it will use the proceeds.
STC recently sold its Indonesian mobile operator Axis to competitor XL Axiata in a US$865m deal.
