Riyad Bank Intends to Redeem $1.5 Billion Tier 2 Bonds Due in 2030

Riyad Bank announced on Thursday its intention to redeem its Tier 2 fixed-rate bonds worth $1.5 billion, due in 2030 (“the Sukuk”), in full at their nominal value (100% of the issue price) by the end of the fifth year (February 25, 2025). The Sukuk was issued on February 25, 2020, with a total value of $1.5 billion and a 10-year maturity, due on February 25, 2030. According to the Sukuk’s terms and conditions, it can be requested from Riyad Sukuk Limited, as the issuer, to redeem the Sukuk on February 25, 2025. Regulatory approvals for this matter have been obtained.

The bank’s management stated in a statement today on “Tadawul” that the redemption amount will be paid along with any outstanding periodic distribution that was due but not paid by or on behalf of Riyad Sukuk Limited on February 25, 2025, to the relevant Sukuk holders, in accordance with the Sukuk’s terms and conditions.

It clarified that the total number of redeemed Sukuk/bonds is 7,500 (based on the minimum value and total volume).