Saudi oil giant Aramco today (June 7) kicked off its first dollar-denominated Islamic bond sale, reported official Saudi Press Agency as the energy giant seeks to raise cash to fund its hefty annual dividend payments of $75 billion. The sale will run until June 17.
Saudi Aramco pointed out that the trust certificates will be shari’a compliant and US dollar denominated, with the issuance amount being subject to market conditions, stated the report.
The targeted class of the issuance is institutional investors (qualified investors in the jurisdictions in which the offering will be made in accordance with the rules and regulations of such jurisdictions, it added.
The sale comes after two previous bond offerings that were not compliant with Islamic law - a debut $12 billion sale in 2019 and an $8 billion offering in November last year.