Saudi Telecom hires banks for debut dollar sukuk

The sukuk — the size of which will depend on market conditions and demand — are part of the Saudi Telecom’s $5 billion sukuk program. (Reuters)
Updated 25 April 2019

Saudi Telecom hires banks for debut dollar sukuk

  • Saudi corporates are increasingly expected to tap the international debt markets
  • Saudi Arabia’s biggest telecommunications operator has applied to list the sukuk with the Irish Stock Exchange

DUBAI: State-run Saudi Telecom has hired six banks to arrange its first issue of US dollar-denominated sukuk, or Islamic bonds, the company said on Thursday.
Saudi corporates are increasingly expected to tap the international debt markets following the inclusion of Saudi government and quasi-government debt in key JP Morgan emerging market bond indexes this year.
The recent jumbo inaugural bond by state-owned oil giant Saudi Aramco has also attracted new interest in Saudi borrowers, and has provided a fresh pricing benchmark for future issues by state-backed entities.
HSBC, JPMorgan, Standard Chartered, Samba, First Abu Dhabi Bank, and KFH have been hired as lead banks for the planned deal.
Saudi Arabia’s biggest telecommunications operator said it had applied to list the sukuk with the Irish Stock Exchange.
The sukuk — the size of which will depend on market conditions and demand — are part of the company’s $5 billion sukuk program, established last month to back general corporate purposes.


Report: 2 Iranian lawmakers arrested for ‘disrupting’ market

Updated 22 August 2019

Report: 2 Iranian lawmakers arrested for ‘disrupting’ market

  • The report did not reveal if they have been charged with any financial crimes
  • Iran arrested several people since 2018 on corruption charges

TEHRAN: Iran’s semi-official Fars news agency says two lawmakers have been arrested for unspecified actions described as “disrupting” the country’s car market.
The report says the two lawmakers — Fereydoun Ahmadi and Mohammad Azizi — were initially taken to the Evin prison in Tehran but they were later released for about $85,000 in bail.
The report didn’t specify if the two have been charged with any financial crimes.
Iran is trying to crack down on corruption and has arrested several persons since 2018. Two prominent local businessmen have been hanged.
Iran’s economy nosedived since the US pullout from the nuclear deal last year. Prices of cars have skyrocketed as Western manufacturers pull out of the country and foreign-produced parts are becoming harder to find. China is trying to fill the void.