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Saudi mall operator Arabian Centres says it intends to issue dollar sukuk

DUBAI, March 24 (Reuters) - Saudi mall operator Arabian Centres said on Wednesday it intends to issue U.S. dollar-denominated sukuk, or Islamic bonds, in what would be the first Saudi corporate international bond issuance this year.

Sources told Reuters last week that Arabian Centres, which operates 21 shopping centres across Saudi Arabia, was planning a $500 million sukuk sale.

The company said in a stock exchange filing on Wednesday the size of the issuance would be determined based on market conditions, its financial condition, funding requirement and strategy.

It said the debt sale would be used for general corporate purposes and to fulfill its financial and strategic objectives.

Arabian Centres hired Credit Suisse, Goldman Sachs and HSBC as joint global coordinators and they are joined by Albilad Investment, JPMorgan, Kamco Invest and Warba Bank to arrange investor calls starting on Wednesday, a document from one of the banks showed on Wednesday.

An issuance of long five-year sukuk of benchmark size, which usually means at least $500 million, may follow subject to market conditions, the document showed.

Reporting by Yousef Saba, editing by Louise Heavens

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