Saudi Real Estate Refinance Co (SRC) was awarded a credit rating of 'A' by Fitch Ratings before the planned issuance of international bonds. Lusail | lusail Qatar | property hunter
Before the end of the year, its treasury manager and global capital markets told Al Arabiya that they would issue up to 1 billion dollars in sukuk or Islamic bonds. More Read More
Al Arabiye stated in a report that the company which is wholly owned by the Public Investment Fund's sovereign fund has a lending portfolio of 6.5 billion riyals ($1.73 billion) by the end of 2020.
By 2025, Al Arabiya said, the company aims to have 20 percent market share of Saudi Arabia's property loans.
Last month, the SRC sold 4 billion riyals to the two-tranche Saudi finance ministry private placement of sukuk. At the end of this year, the company plans to issue bonds of between $500 million and $1 billion, likely with a tenor of between 10 and 12 years.
Bloomberg reported that Riyadh Capital has been hired by a digital security company owned by the PIF (Public Investment Fund) Saudi Arabia to advise on a possible IPO.
Digital security company Elm has hired Riyadh Capital to advise people who know the business on the sale of shares that could value the company by around $2 billion.
The IPO was able to see the PIF selling up to 30 percent of the stakes, people said, requesting that the information is not identified as private.
Elm intends to complete next year's sale of shares on the Saudi stock exchange, Bloomberg said.
Deliberations are at an early stage, and offer details may change.
Saudi Arabia's state-controlled companies increasingly seek ways to benefit from rising investor demand for new offerings while at the same time raising money to help fund efforts to diversify the economy away from oil.
Two other PIF companies – Tadawul and Acwa Power stock exchange – are expected to sell Saudi stocks this year while Saudi Telecoms Co. and Saudi Basic Industries Corp. are planning to offer stocks to subsidiaries.