Rawabi Holding successfully closes the 8TH & 9TH series under its SR5 billion Sukuk programme, issuing an aggregate of SR 670 million Sukuk

On 30 March 2022, Rawabi Holding Company (“Rawabi” or the “Company”) had successfully concluded two issuances in an aggregate of SAR 670 million consisting of Series 8 Sukuk due 2024 and Series 9 Sukuk due 2025 (“8th and 9th Series”) under the SAR 5 billion Sukuk programme established by a special purpose vehicle (“Sukuk Programme”).

The 8th and 9th Series follow seven successful issuances since the Sukuk Programme was established in March 2020 and the redemption of Series 1 Sukuk and Series 2 Sukuk with a total value of SAR 575 million under the Sukuk Programme. Albilad Capital, Alinma Investment Company, Riyad Capital and Alrajhi Capital acted as joint lead managers and bookrunners for the dual series issued. Simmons & Simmons Middle East LLP acted as transaction adviser.

Ahmad Al-Shubbar, Vice President, Treasury & Strategy, at Rawabi said: “Following the successful issuances totaling more than SAR 2.6 billion under the Sukuk Programme in 2020 and 2021, we believe these last two issuances cements Rawabi Holding’s position as a regular issuer and long term participant in the local currency Debt Capital Markets as we attracted a total order of approximately SAR 1.2 billion against the planned single tranche issuance size of SAR 500 million which allowed us to upsize to an aggregate of SAR 670 million divided across the two series.

The investors base is well diversified and largely consists of fund managers, individuals, government agencies and insurance companies, thus accomplishing our primary aspiration in establishing the Sukuk Programme which was to diversify our funding sources away from the traditional bank financing as well as garnering significant participation from non-bank investors in the Sukuk Programme, which resulted in having more than 70 registered investors in several series under the Sukuk Programme.

We are also pleased to announce Capital Intelligence Ratings (“CI”) has assigned a first-time issuer rating of ‘saA-’ with a “Stable” outlook on the Saudi Arabia National Scale to Rawabi Holding Company in addition to assigning the same rating to each of the 8th and 9th Series as an issuance rating. The rating is driven by CI’s assessment of the fundamental credit strength and general repayment capacity of Rawabi.”

About Rawabi Holding Company

Aspired to be a leading global provider of products and services to a diversified range of key industries, with a focus on the Energy Sector.

Through its fully owned subsidiaries and controlled companies, namely Rawabi Energy, Rawabi Oil & Gas (ROG), Rawabi Vallianz Offshore Services (RVOS) and Vallianz Holdings Limited (VHL), Rawabi provides a wide range of supply to the upstream, downstream and midstream sectors in the oil and gas Industry supported by a wide range of oilfield services that covers drilling, intervention and productions activities. Additionally, the group operate a large young fleet of offshore service vessels and jack-up barges in the MENA, South America and Far East.