Saudi’s Binladin completes USD267m sukuk sale – sources
Binladin Group has completed a 1-billion-riyal ($266.7 million) Islamic bond sale. The transaction, structured as a sukuk al-murabaha, has a one-year lifespan and pays a profit rate of 2.5 percent. The Islamic bond was sold to a wide range of investor types including financial institutions, asset managers and insurance funds among others. Sources said last month that BNP Paribas and the investment banking arm of Gulf International Bank were marketing a deal for Binladin Group to Saudi investors, with proceeds to be used to fund its projects. The sukuk sale is the fourth carrying a 364-day tenor. Binladin Group has already completed one, longer-dated local currency sukuk in 2013. It priced the 1.3-billion-riyal Islamic bond with a 2.5-year lifespan, arranged by the investment banking arm of Banque Saudi Fransi , in April.