‎“Bank Al-Jazira” begins issuing additional Tier 1 first tranche ‎sukuk denominated in riyals

Bank Al-Jazira announced the start of issuing additional sukuk from the first tranche (Tier 1) denominated in Saudi riyals, indicating that the nominal value amounted to one million riyals, and the issuance value and conditions for issuing sukuk will be determined based on market conditions.

The bank said that the minimum subscription is one million riyals, targeting institutional and qualified investors in accordance with the rules for offering securities and continuing commitments issued by the Capital Market Authority.

According to the statement published on “Tadawul”, there is no maturity date (with the right to redeem on a specific date or as specified in the terms and conditions), it is required that the sukuk be continuous with redemption rights in certain cases as detailed in the offering document for the sukuk.

The bank has appointed Al-Jazira Financial Markets Company (Al-Jazira Capital) as the sole regulator.

This comes with reference to the bank’s announcement, published on the Saudi Stock Exchange website on 05/31/2023 AD, regarding its intention to issue Tier 1 sukuk denominated in Saudi riyals under the sukuk program through a private placement in the Kingdom of Saudi Arabia.