Riyad Capital launches new real estate sukuk for Sumou Global
RIYADH, 5 hours, 26 minutes ago
Riyad Capital, the leading Saudi IB Advisor and a leading asset manager within Saudi Arabia and the GCC region, has announced the successful issuance of a SAR500 million ($133 million) Saudi Riyal denominated sukuk for Sumou Global Investment Company, a first of its kind for the Saudi Real Estate sector.
Sumou priced SAR 500 million in senior secured Sukuk with a 3-year maturity and a coupon of 8.50% payable on a quarterly basis. This landmark transaction marks the company's debut into the debt capital markets, a strategic move towards diversifying its funding sources and securing capital for long-term growth.
The transaction was notably upsized from an initial issue size of SAR 300 million due to significant demand, with initial subscription multiples of almost two times the offer size from both retail and institutional investors. This robust demand represents a clear endorsement of Sumou’s credit story and future prospects by the investor community.
Riyad Capital acted as the Sole Arranger and Sole Bookrunner to the offering.
