Al Rajhi Banktower
Al Rajhi Bank announced the launch of a USD-denominated Tier 2 social capital sukuk offering through a special purpose vehicle to eligible investors inside and outside Saudi Arabia. 
In a statement to Tadawul, the bank said the final size and terms of the sukuk offering will be determined based on market conditions.
Offering Details
Issue Type
USD-denominated Social Tier 2 Sukuk
Offering Size
The final size and terms of the sukuk offering will be determined based on market conditions
Offering Start Date
Sept. 3, 2026
Offering End Date
Sept. 4, 2026
Target Investors
Eligible investors inside and outside Saudi Arabia
Issue Managers
The bank has appointed Al Rajhi Capital, Arqaam Capital ltd, Banco Bilbao Vizcaya Argentaria (BBVA), S.A., Citigroup Global Markets ltd, Intesa Sanpaolo S.p.A., London Branch, Morgan Stanley Co. International plc, SMBC Bank International plc, Standard Chartered Bank, and Warba Bank as joint lead managers and joint bookrunners for the potential offering
Minimum Subscription
$200,000, in increments of $1,000
Issue Price
To be determined based on market conditions
Nominal Value
$200,000
Return
To be determined based on market conditions
Maturity
10.5 years, callable after five years
Redemption Terms
The sukuk may be redeemed under certain circumstances, as detailed in the sukuk offering document
The bank added that the sukuk will be listed on the International Securities Market of the London Stock Exchange and may be sold pursuant to Regulation S under the amended US Securities Act of 1933. It also noted that the offering end date above is indicative and subject to market conditions.
According to data available on Argaam, Tier 2 capital is a type of capital instrument that provides a lower loss-absorption capacity compared with Tier 1 capital.
Tier 2 capital includes instruments such as subordinated loans, bonds, and other instruments issued by banks that meet specified regulatory criteria.
Social sukuk are innovative Shariah-compliant financial instruments aimed at financing and supporting projects with social impact and sustainable development objectives.
Al Rajhi Banktower
Al Rajhi Bank announced the launch of a USD-denominated Tier 2 social capital sukuk offering through a special purpose vehicle to eligible investors inside and outside Saudi Arabia.
In a statement to Tadawul, the bank said the final size and terms of the sukuk offering will be determined based on market conditions.
Offering Details
Issue Type
USD-denominated Social Tier 2 Sukuk
Offering Size
The final size and terms of the sukuk offering will be determined based on market conditions
Offering Start Date
Sept. 3, 2026
Offering End Date
Sept. 4, 2026
Target Investors
Eligible investors inside and outside Saudi Arabia
Issue Managers
The bank has appointed Al Rajhi Capital, Arqaam Capital ltd, Banco Bilbao Vizcaya Argentaria (BBVA), S.A., Citigroup Global Markets ltd, Intesa Sanpaolo S.p.A., London Branch, Morgan Stanley Co. International plc, SMBC Bank International plc, Standard Chartered Bank, and Warba Bank as joint lead managers and joint bookrunners for the potential offering
Minimum Subscription
$200,000, in increments of $1,000
Issue Price
To be determined based on market conditions
Nominal Value
$200,000
Return
To be determined based on market conditions
Maturity
10.5 years, callable after five years
Redemption Terms
The sukuk may be redeemed under certain circumstances, as detailed in the sukuk offering document
The bank added that the sukuk will be listed on the International Securities Market of the London Stock Exchange and may be sold pursuant to Regulation S under the amended US Securities Act of 1933. It also noted that the offering end date above is indicative and subject to market conditions.
According to data available on Argaam, Tier 2 capital is a type of capital instrument that provides a lower loss-absorption capacity compared with Tier 1 capital.
Tier 2 capital includes instruments such as subordinated loans, bonds, and other instruments issued by banks that meet specified regulatory criteria.
Social sukuk are innovative Shariah-compliant financial instruments aimed at financing and supporting projects with social impact and sustainable development objectives.
