Saudi Press

Saudi Arabia and the world
Friday, Aug 08, 2025

Alrajhi Bank offers Tier 1 Sukuk denominated in Saudi Riyals for public subscription

Alrajhi Bank offers Tier 1 Sukuk denominated in Saudi Riyals for public subscription

Alrajhi bank announced the launch of its Tier 1 Sukuk denominated in Saudi Riyals on Sunday, October 30th, 2022. Alrajhi Capital, was appointed as the financial advisor and lead manager in connection with the offering, post receiving the Capital Markets Authority approval for the public offering on October 20th, 2022.
On the back of the bank's successful previous private issuance in January 2022, and the significant turnout by investors at that time, Alrajhi Bank decided to make this a public subscription. Due to this, it will be listed on the Saudi Stock Exchange (Tadawul), and hence investors will be able to actively trade and invest in the Sukuk. This will create liquidity for the Sukuk and provide a greater opportunity for investors in general, and retail investors in particular.

The bank determined a minimum investment amount of 5,000 Saudi Riyals, representing the value of five Sukuks, with each unit having a face value of 1,000 Saudi Riyals, and set the annual return on the Sukuk at 5.50%. According to the bank, Sukuk profits will be distributed to investors on a quarterly basis (every three months). The Tier 1 Sukuk shares many characteristics with equity instruments, such as ordinary shares in companies, including Zakat treatment.

Sukuk subscriptions and offerings will begin on Sunday, October 30th, 2022, and will end on Thursday, November 10th, 2022. Investors will be able to subscribe to Sukuk during this time period using the means available through the receiving banks, including their digital channels. Alrajhi bank, Saudi National Bank, Riyad Bank, Alinma Bank, Banque Saudi Fransi, Aljazira Capital, Arab National Bank, and Bank Albilad are among the recipients. It is also worth noting that the Tier 1 Sukuk is Shariah-compliant, with no maturity date (perpetual), and callable in five years by the bank. The purpose of issuing the Sukuk is to improve the bank’s ability to expand its business. Moreover, Sukuk is one of the main investment instruments for generating consistent income on a regular basis for investors.
Newsletter

Related Articles

Saudi Press
0:00
0:00
Close
British Labour Government Utilizes Counter-Terrorism Tools for Social Media Monitoring Against Legitimate Critics
WhatsApp Deletes 6.8 Million Scam Accounts Amid Rising Global Fraud
Nine people have been hospitalized and dozens of salmonella cases have been reported after an outbreak of infections linked to certain brands of pistachios and pistachio-containing products, according to the Public Health Agency of Canada
Texas Residents Face Water Restrictions While AI Data Centers Consume Millions of Gallons
Tariffs, AI, and the Shifting U.S. Macro Landscape: Navigating a New Economic Regime
India Rejects U.S. Tariff Threat, Defends Russian Oil Purchases
United States Establishes Strategic Bitcoin Reserve and Digital Asset Stockpile
Thousands of Private ChatGPT Conversations Accidentally Indexed by Google
China Tightens Mineral Controls, Curtailing Critical Inputs for Western Defence Contractors
OpenAI’s Bold Bet: Teaching AI to Think, Not Just Chat
BP’s Largest Oil and Gas Find in 25 Years Uncovered Offshore Brazil
JPMorgan and Coinbase Unveil Partnership to Let Chase Cardholders Buy Crypto Directly
British Tourist Dies Following Hair Transplant in Turkey, Police Investigate
WhatsApp Users Targeted in New Scam Involving Account Takeovers
Trump Deploys Nuclear Submarines After Threats from Former Russian President Medvedev
Germany’s Economic Breakdown and the Return of Militarization: From Industrial Collapse to a New Offensive Strategy
IMF Upgrades Global Growth Forecast as Weaker Dollar Supports Outlook
Politics is a good business: Barack Obama’s Reported Net Worth Growth, 1990–2025
"Crazy Thing": OpenAI's Sam Altman Warns Of AI Voice Fraud Crisis In Banking
Japanese Prime Minister Vows to Stay After Coalition Loses Upper House Majority
President Trump Diagnosed with Chronic Venous Insufficiency After Leg Swelling
Man Dies After Being Pulled Into MRI Machine Due to Metal Chain in New York Clinic
FIFA Pressured to Rethink World Cup Calendar Due to Climate Change
"Can You Hit Moscow?" Trump Asked Zelensky To Make Putin "Feel The Pain"
Nvidia Becomes World’s First Four‑Trillion‑Dollar Company Amid AI Boom
Iranian President Reportedly Injured During Israeli Strike on Secret Facility
Kurdistan Workers Party Takes Symbolic Step Towards Peace in Northern Iraq
BRICS Expands Membership with Indonesia and Ten New Partner Countries
Elon Musk Founds a Party Following a Poll on X: "You Wanted It – You Got It!"
AI Raises Alarms Over Long-Term Job Security
Saudi Arabia Maintains Ties with Iran Despite Israel Conflict
Russia Formally Recognizes Taliban Government in Afghanistan
Mediators Edge Closer to Israel-Hamas Ceasefire Agreement
Emirates Airline Expands Market Share with New $20 Million Campaign
House Oversight Committee Subpoenas Former Jill Biden Aide Amid Investigation into Alleged Concealment of President Biden's Cognitive Health
Amazon Reaches Major Automation Milestone with Over One Million Robots
Meta Announces Formation of Ambitious AI Unit, Meta Superintelligence Labs
China Unveils Miniature Insect-Like Surveillance Drone
Marc Marquez Claims Victory at Dutch Grand Prix Amidst Family Misfortune
Iran Executes Alleged Israeli Spies and Arrests Hundreds Amid Post-War Crackdown
Trump Asserts Readiness for Further Strikes on Iran Amid Nuclear Tensions
Iran's Parliament Votes to Suspend Cooperation with Nuclear Watchdog
Trump Announces Upcoming US-Iran Meeting Amid Controversial Airstrikes
Trump Moves to Reshape Middle East Following Israel-Iran Conflict
NATO Leaders Endorse Plan for Increased Defence Spending
U.S. Crude Oil Prices Drop Below $65 Amid Market Volatility
Explosions Rock Doha as Iranian Missiles Target Qatar
“You Have 12 Hours to Flee”: Israeli Threat Campaign Targets Surviving Iranian Officials
Oman Set to Introduce Personal Income Tax, First in Gulf
Germany and Italy Under Pressure to Repatriate $245bn of Gold from US Vaults
×