KIB Group, represented by KIB Invest, takes on Joint Lead Manager role in landmark USD2.5 billion government-guaranteed Sukuk issuance by Saudi Real Estate Refinance Company

Kuwait International Bank (KIB) Group, through its investment arm KIB Invest, announced its appointment as Joint Lead Manager (JLM) in the successful issuance of a USD 2.5 billion government-guaranteed dual-tranche Sukuk by the Saudi Real Estate Refinance Company (SRC).

This landmark issuance is considered one of the largest and most significant sukuk offerings in the region, as it is directly guaranteed by the Government of the Kingdom of Saudi Arabia through the Ministry of Finance, providing the highest levels of credibility and security for global investors.

The Saudi Real Estate Refinance Company, fully owned by the Saudi Public Investment Fund, plays a key role in achieving the objectives of the Housing Program under Saudi Vision 2030, which aims to increase the homeownership rate among Saudi citizens. The company supports this goal by providing liquidity to lenders, enabling them to offer affordable housing finance to individuals, while working closely with partners to strengthen the housing ecosystem in the Kingdom.

Commenting on the achievement, Ma’ab Mohammed Qassem, General Manager of International Banking and Financial Institutions at KIB, stated: “At KIB Group, we are proud to have been entrusted with a key role in this strategic transaction, which marks a new milestone in the realm of sovereign-backed issuances across the GCC. Being recognized among the leading institutions in the region is a clear testament to our growing expertise and capabilities in the capital markets space.”

She added: “This achievement reaffirms KIB Group’s commitment to expanding its presence, building strong partnerships, strengthening client relationships, and enhancing Kuwait’s position in global capital markets. This new Sukuk issuance not only highlights the continued growth and attractiveness of the sukuk market in the GCC countries, but also reinforces KIB Group’s position as a trusted financial partner capable of arranging landmark international transactions that contribute to the financial and economic development of the region.”

From his side, Jamal Hamad Al Barrak, CEO of KIB Invest, said: “We are pleased to participate as Joint Lead Manager in this issuance, which was structured across two tranches with maturities of three and 10 years, attracting exceptional global demand that generated an orderbook exceeding USD 13.5 billion – more than 5.4 times oversubscribed. The transaction’s strong momentum during the book-building process reflected the robust contribution of KIB Invest, which added significant value and supported its ultimate success. This milestone also highlights the company's role among the world’s leading Sukuk arrangers, working alongside a consortium of premier regional and international institutions.”

Al-Barrak added: “With participation exceeding 65% from Europe and Asia, the strong investor appetite for these Sukuk underscores the confidence of international markets in GCC issuances and in the joint lead managers who led this transaction.”

The Saudi Real Estate Refinance Company, rated A1 (Stable) by Moody’s, A (Stable) by S&P, and A+ (Stable) by Fitch, worked with some of the world’s leading banks to arrange the deal. KIB Invest was selected alongside other major international financial institutions to help manage and distribute the Sukuk. HSBC and J.P. Morgan were mandated as Joint Global Coordinators, with DBS Bank, KFH Capital, Mizuho International, Standard Chartered Bank, Islamic Corporation for the Development of the Private Sector, and KIB Invest serving as Joint Lead Managers and Bookrunners.