Skip to content Skip to Search
Skip navigation

PIF-backed Saudi Electricity plans sale of dollar sukuk

India says connecting its power grid to Saudi Arabia and the UAE will help it supply power to Europe Unsplash.com
India says connecting its power grid to Saudi Arabia and the UAE will help it supply power to Europe

Saudi Electricity Company is planning to issue a green or conventional sukuk (Islamic bonds) denominated in US dollars.

The banks will hold meetings with fixed-income investors starting Friday (March 31), the company said in a statement to the Saudi bourse.

The issuance amount will be determined later based on market conditions and requirements.

The company has hired HSBC, Standard Chartered, JPMorgan Securities, First Abu Dhabi Bank, MUFG Securities, Mizuho, SMBC Nikko, SNB Capital, Al Rajhi Capital, Saudi Fransi Capital, Abu Dhabi Islamic Bank, Bank of China, Abu Dhabi Commercial Bank, Natixis, and Societe Generale as joint lead managers.

The proceeds will be used for general corporate purposes, including capital expenditure, or if issued as green sukuk to fund eligible projects under the company’s green sukuk framework.

Saudi Electricity, which is 74.3 percent owned by the Saudi sovereign wealth fund, the Public Investment Fund (PIF), first raised $1.3 billion by selling a two-tranche green sukuk in 2020.

Last month, the utility provider raised SAR10 billion ($2.66 billion) via a syndicated loan from nine local banks.

The company raised $3 billion from another syndicated loan from 15 regional and international banks in August 2022.

On Wednesday, Saudi Arabia’s Al Rajhi Bank raised $1 billion with five-year sustainable Islamic bonds.

In February, PIF raised $5.5 billion through its latest green bond issuance, supporting expectations of a strong year for sustainable bonds in the Middle East.

Latest articles

Waste To Energy Biogas plant with solar, battery station and E-car charging station

African renewables are ripe for investment, says Irena

Africa accounted for less than 1 percent of the new renewable energy sources added globally last year, and a conference in Abu Dhabi this week called on wealthy investors to help the continent achieve its targets. Amani Abu Zeid, commissioner for infrastructure and energy of the African Union Commission, told the International Renewable Energy Agency […]

Saudi Arabia Ronnie O'Sullivan snooker

Ronnie O’Sullivan to be Saudi snooker ambassador

Saudi Arabia has signed a deal with the world’s top snooker player, Ronnie O’Sullivan, for him to act as an “ambassador” for the sport in Saudi Arabia.  It was announced alongside news that Saudi Arabia has become an official sponsor of the World Snooker Championship that begins this weekend in Sheffield, UK. Under the three-year […]

UAE Costa Rica Cepa

Costa Rica added to UAE economic partners

The UAE has signed a comprehensive economic partnership agreement with Costa Rica, the latest in a string of trade deals around the world over the past two years. It is the first time the South American country has signed an agreement with a Middle Eastern country. The agreement will improve trade flows between the two […]

A man wades through a flooded street in Dubai. Some areas of the UAE received more than a year's worth of rain in one day Video length: 03:08

UAE president orders review after flooding

The UAE’s president, Sheikh Mohamed bin Zayed Al Nahyan, has ordered an urgent review of the country’s infrastructure after historic levels of rainfall brought the Gulf state to a standstill, with some areas seeing more than a year’s worth of rain in one day. The president has contacted authorities “to quickly work on studying the […]