SAUDI ARABIAN MINING COMPANY (MAADEN) ANNOUNCES THAT ITS SUBSIDIARY MAADEN PHOSPHATE COMPANY (MPC) HAS SUCCESSFULLY COMPLETED THE OFFERING OF ITS SHARIAH COMPLIANT SUKUK
Saudi Arabian Mining Company (Maaden) announces that its subsidiary, Maaden Phosphate Company (MPC) has successfully completed the offering of its Shariah compliant sukuk for the amount of SAR 3.5 billion (USD 933,333,000) (consisting of 3500 certificates with a nominal value of SAR 1,000,000 each). The proceeds from the issuance will be utilised for the purpose of replacing a portion of the existing debt of MPC and will not increase the amount of MPC debt. The offering was a single class unsecured instrument denominated in Saudi Riyals privately offered to commercial banks and financial institutions.
The Sukuk has an expected return of 135 basis points over the Saudi Interbank Offered Rate (SIBOR) and a maturity of seven years payable in one lump sum. Redemption will either be scheduled redemption, or for tax reasons (at the option of MPC) or following a change of control (at the option of the sukukholders).
Further substantial developments will be announced in due course.
MPC is a limited liability company co-owned by Maaden (70 %) and Saudi Basic Industries Corporation (SABIC) (30%).
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