Aramco raises $5 billion in triple-tranche bond offering

IFR Fixed Income Services revealed that Saudi Arabian Oil Company (Saudi Aramco) raised $5 billion in its debut dollar-denominated international bond offering in 2025.

The issuance included three tranches with maturities of 5, 10, and 30 years. According to IFR, the size of the 5-year tranche was $1.5 billion, at a premium of 80 basis points over US Treasuries, down from the guidance of 115 basis points.

The 10-year tranche was valued at $1.25 billion, at a premium of 95 basis points over US Treasuries, down from 130 basis points. The 30-year tranche was valued at $2.25 billion, at a premium of 155 basis points over US Treasuries, below the guidance of 185 basis points. On Tuesday, Aramco announced the issuance of dollar-denominated international bonds under its International Medium-Term Note (IMTN) Program, starting today and running until June 2.

According to the company’s statement on Tadawul, the offering value will be determined based on market conditions, while the target group is institutional investors (qualified in the countries where the offering will take place, in accordance with the applicable laws and regulations of those countries).

The minimum subscription will be $200,000 and in multiples of $1,000 in excess of that amount, subject to market conditions.

The entities responsible for the issuance are HSBC, Goldman Sachs International, J.P. Morgan, and Citi as the active joint bookrunners. In addition to SMBC, NCB Capital, Riyad Capital, MUFG, First Abu Dhabi Bank, Abu Dhabi Commercial Bank, Bank of China, Standard Chartered Bank, Emirates NBD Capital Limited, Merrill Lynch Saudi Arabia, Mizuho and Natixis as the joint passive bookrunners.