Riyadh – Mubasher: Dar Al-Arkan Real Estate Development Company announced the closing of the seventh tranche Sukuk issuance under its US dollar denominated Sukuk Programme, with a size of SAR 1.5 billion ($400 million).

The order book for the Sukuk was opened on Wednesday and closed on the same day, according to a statement to the Saudi Stock Exchange (Tadawul).

The seven-year fixed-rate RegS senior unsecured bonds are offered at a return rate of 6.875 % per year.

Investors showed great interest in the offering with the order book reaching SAR 4.31 billion ($1.150 billion), the company disclosed.

Dar Al-Arkan appointed Alkhair Capital, Citi, Deutsche Bank, Dubai Islamic Bank, Emirates NBD Capital, Mashreq Bank, Nomura, Standard Chartered Bank, and Warba Bank to manage the issuance.

The stabilisation rules of the Financial Conduct Authority (FCA) and the International Capital Market Association (ICMA) will also apply to the issuance.

The bonds will be listed on the Irish Stock Exchange (Euronext Dublin).