IslamicFinance.de

Saudi Investment Bank closed a 500 million riyals ($133.3 million) Tier 1 sukuk sale on Monday. The subordinated Islamic bond was sold privately. The debt transaction will boost the bank's capital base and its capital adequacy ratio, in addition to diversifying the Saudi bank's funding sources and its maturity profile. The joint lead managers of the transaction were Alistithmar for Financial Securities and Brokerage and J.P. Morgan Saudi Arabia.

Saudi Arabia's National Industrialization Company (Tasnee) has signed a sharia-compliant loan facility worth SR4 billion ($1.06 billion) with seven Saudi banks and Emirates NBD. The Saudi banks which contributed are Riyad Bank, Al Rajhi Bank, Bank Al Bilad, Saudi British Bank, Samba Financial Group, Banque Saudi Fransi and Saudi Investment Bank. The financing, signed on Sunday, will be repaid in eight years including a one-year grace period. The loan, which was covered 1.5 times, will finance the company's stakes in future projects and refinance existing loans.

SAIB Sukuk Fund will be accepting subscriptions from investors starting February 1 2011. The Fund is an openended public Fund under the supervision of the Capital Market Authority of Saudi Arabia. The minimum amosaunt to subscribe into the fund is SAR 100,000 and will provide twice-monthly liquidity.
SAIB BNP Paribas Asset Management Co. Ltd. is one of the premier Asset Management firm operating as a Joint venture between the Saudi Investment Bank and BNP Paribas Investment Partners, a preeminent global financial institution.