Riyad Bank plans to redeem its $1.5B Tier 2 sukuk

Logo of Riyad Bank

Riyad Bank announced its intention to recall the $1.5 billion fixed rate reset Tier 2 trust certificates due 2030 in full, at face value or 100% of issue price at the end of the fifth year, Feb. 25, 2025.

In a statement to Tadawul, the bank said that the sukuk was issued on Feb. 25, 2020 for an aggregate value of $1.5 billion with an original maturity of 10 years due on Feb. 25, 2030. In accordance with the sukuk's terms and conditions, Riyad Bank may require Riyad Sukuk Limited as issuer to recall the sukuk on Feb. 25, 2025. Regulatory approval has already been obtained in this regard.

The redemption amount together with any periodic distribution accrued but unpaid will be paid by or on behalf of Riyad Sukuk Limited on Feb. 25, 2025, to the relevant holders of the sukuk, in accordance with the terms and conditions, the bank added.