Saudi National Bank to issue USD-denominated tier 2 capital notes
The Saudi National Bank (SNB), rated Aa3 by Moody's, A by S&P and A by Fitch, plans to issue US dollar denominated tier 2 capital notes under its $10 billion Euro medium Term Note programme.
The Reg S 10-year non-call 5 notes issuance is expected to be through a special purpose vehicle and will be offered to domestic and international investors.
SNB has mandated Abu Dhabi Commercial Bank, DBS Bank Ltd., Emirates NBD Bank, Goldman Sachs International, HSBC Bank, J.P. Morgan Securities, Mashreqbank, Mizuho International, SNB Capital Company, SMBC Bank International and Standard Chartered Bank as joint lead managers and joint bookrunners.
The proceeds from the debt sale will be used for general corporate purposes.
The amount and terms of the offer will be determined at a later stage based on market conditions. The notes will be listed on the London Stock Exchange's International Securities Market.
SNB, Saudi Arabia's largest lender, issued 1.73 billion Saudi riyals ($461.3 million) in SAR-denominated Additional Tier 1 sukuk last month.
The 5-year perpetual sukuk was issued at a profit rate of 6%.
(Writing by Brinda Darasha; editing by Seban Scaria)
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