Saudi Arabia raises $3.25 billion in two-tranche sukuk sale, IFR reports

According to Business Recorder, citing IFR, Saudi Arabia raised $3.25 billion through a sale of US dollar-denominated sukuk in two tranches. It was the kingdom's second bond market deal this year, and its first since Iran tensions rose.

The five-year tranche totalled $1.25 billion and the 10-year tranche $2 billion, with final margins of 70 basis points for the shorter one and 80 for the longer, both over US Treasuries. Orders topped $15 billion, according to the report, which added that the funds will cover general budget needs at home.

Citi, Goldman Sachs International, HSBC, JPMorgan and Standard Chartered led the deal as global coordinators and bookrunners. In January, the kingdom had raised $11.5 billion through four bond tranches under its 2026 borrowing programme, which aims for about $57.9 billion overall. Last week, Saudi Arabian Mining Company (Ma'aden) borrowed $1 billion via its debut overseas facility, made up of a term loan and a revolving credit line.