Bank AlJazira raises USD 500 mn, GIB Saudi begins USD 250 mn loan syndication

Bank AlJazira finalizes its international debt market return: AlJazira Bank has closed its USD 500 mn AT1 capital certificates offering at 6.50% per annum, according to a Tadawul disclosure. The issuance — 2.5k certificates at a par value of USD 200k each — was executed under the bank’s USD 1.5 bn global AT1 program, with settlement due 24 June. The perpetual green certificates, callable after five years, will be listed on the London Stock Exchange’s International Securities Market.

REMEMBER- The issuance effectively replaces the bank’s USD 500 mn tier 1 sukuk due for redemption on 29 June — part of a broader wave of Saudi banks compressing months of refinancing activity into a narrow pre-summer window as spreads for investment-grade names have tightened back inside pre-war levels.

In other debt news

GIB Saudi kicks off USD 250 mn loan syndication: The Gulf International Bank Saudi Arabia — a joint venture between the PIF and Bahrain’s Gulf International Bank — has launched a general syndication for a USD 250 mn, three-year senior unsecured term loan, according to a report picked up by Zawya. Proceeds will go toward general corporate funding.

ADVISORS- First Abu Dhabi Bank and Standard Chartered are acting as lead arrangers and bookrunners.