Moody's assign A2 ratings to Saudi Electricity sukuk

Moody's assign A2 ratings to Saudi Electricity sukuk
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Riyadh - Mubasher: Moody's Investors Service has assigned an A2 rating to the proposed senior unsecured sukuk certificates to be issued by Saudi Electricity Global Sukuk Company, with a stable outlook.

The new Islamic bonds are a special purpose vehicle established in the Cayman Islands by Saudi Electricity Company (SEC).

The A2 rating and stable outlook assigned to the Certificates are at the same level as the long-term issuer rating of SEC.

Certificates holders will be effectively exposed to SEC's senior unsecured credit risk; will not be exposed to the risks relating to the trust assets; will not have any preferential claim or recourse over the trust assets, or rights to cause any sale or disposition of the trust assets except as expressly provided under the transaction documents; and will only have rights against SEC, ranking pari passu with other senior unsecured obligations as provided in the transaction documents, the ratings agency said in a report on Thursday.

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Source: Mubasher