On a pivotal day in December, Gulf International Bank – Saudi Arabia (GIB KSA) made a landmark entry into the capital market by raising SAR 1.5 billion. This inaugural transaction was part of a 10NC5 Tier 2 Sukuk issuance under the bank’s newly established SAR 3 billion Tier 2 Sukuk program.
The initiation of the bank’s Sukuk program is a strategic move, closely aligned with its objectives to foster balance sheet growth and actively contribute to Saudi Arabia’s national economic goals as detailed in the ambitious Vision 2030.
GIB’s Group Chief Executive Officer, Abdulaziz Al-Helaissi, expressed his contentment with the successful capital boost, saying, The Sukuk Programme will play an integral role in diversifying our funding sources and fuel the bank’s expansion initiatives as the Bank seeks to capitalise on growth opportunities in the Kingdom. The strong investor support is a testament to the strength of GIB KSA’s credit story and its growth strategy. We are delighted to receive such a strong endorsement from the local Saudi capital markets.
Osamah Shaker, CEO of GIB Capital, also shared his enthusiasm. GIB Capital is delighted to act as the sole arranger for the establishment of the Sukuk Programme and the Bank’s debut issuance. The successful issuance highlights our capability to help issuers access a wide investor base and provide robust execution advice to navigate challenging market conditions,
he added.
With a strategic headquarters in Al Khobar and branches in Riyadh and Jeddah, GIB Saudi Arabia drives its operations, while GIB Capital, based in Riyadh, spearheads the bank’s investment banking activities.