JPMorgan Chase & Company, HSBC Holdings and Riyad Bank are advising Saudi Aramco about setting up a riyal-denominated sukuk programme that could be launched later this, Bloomberg reported this morning.
The world’s largest oil producing corporation, which is due to be listed on local or international stock markets in 2017, is also considering setting up a dollar-bond programme.
This will be the first sukuk borrowing by Saudi Aramco as a corporate entity. In 2010, Saudi Aramco Total Refining & Petrochemical Company (Satrop), a joint venture with France’s Total, issued a SR 3.75bn ($1bn) sukuk.
In 2013, Sadara Chemical Company, a joint venture with Dow Chemical Company, issued a SR 7.5bn sukuk to finance its integrated refining/petrochemical plant in Jubail.