DUBAI-Saudi Real Estate Refinance Co (SRC) has been given an ‘A’ credit rating by Fitch Ratings prior to a planned issuance of international bonds, an executive told Saudi TV channel Al Arabiya on Monday.
SRC plans to give upto $1 billion in Sukuk, or Islamic bonds, before the end of the year, said the director of treasury and global capital markets to Al Arabiya.
The company, which is fully owned by sovereign fund the Public Investment Fund, has a portfolio of loans of 6.5 billion riyals ($1.73 billion) by the end of 2020, Al Arabiya provided in a report.
The company focuses to have a 20% market share of Saudi Arabia’s real estate loans by 2025, Al Arabiya said.
Last month, SRC sold 4 billion riyals in a two-tranche private placement of Sukuk, guaranteed by the Saudi finance ministry. The company told that it planned to provide between $500 million and $1 billion in bonds by the end of this year, likely with a tenor of between 10 and 12 years.
($1 = 3.7504 riyals)