DUBAI: Saudi Hollandi Bank (SHB) has privately placed a SR2.5 billion ($666.6 million) tier 2 Islamic bond or sukuk, the lender said in a bourse statement on Sunday.

The sukuk, which will support the bank's capital base, has a tenor of ten years. It carries a half yearly profit of six-month Saudi Interbank Offered Rate (SIBOR) plus 1.55 percent.