Riyadh – Mubasher: Banque Saudi Fransi (BSF) on Monday said it began issuing SAR-denominated Additional Tier 1 Sukuk through a private placement offer.

The number and value of any Sukuk to be offered will be determined based on market conditions. The issue targets sophisticated investors, according to a statement to the Saudi Stock Exchange (Tadawul).

Moreover, the issue start date is 19 October 2020 and the end date is 8 November 2020.

The minimum subscription amount is SAR 1 million and the par value is SAR 1 million. Both of the Sukuk listing price and return are subject to market conditions.

The Sukuk maturity is perpetual and may be redeemed early due to a capital event, tax event, or at the option of the bank.

On Sunday, the Saudi lender announced its intention to issue the said Sukuk and appointed Saudi Fransi Capital as a sole bookrunner, lead arranger, and lead manager for the potential private placement offer.