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Saudi Arabia sells $6bln in two-tranche Islamic bonds

Saudi Arabia has raised $6 billion from the sale of Islamic bonds, or sukuk, a document from a lead manager showed, returning to the debt markets for the second time this year, amid continued pressure on global oil prices.

The kingdom sold a $3 billion six-year tranche at 80 basis points (bps) over U.S. Treasuries (UST) and another $3 billion in 10-year notes at 100 bps over UST, tighter than guidance released on Monday.

Order books for the deal hit over $27 billion ahead of the launch, according to a separate bank document seen on Monday, allowing the kingdom to sell a significant amount in an undersupplied market and diversify its investor base.

Link:  https://www.zawya.com/en/markets/fixed-income/saudi-arabia-sells-6bln-in-two-tranche-islamic-bonds-lead-manager-cdy0n4rt

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