Sabic plans US$2.7 billion bond sale to Saudi fund
Source: BI-ME and Bloomberg , Author: BI-ME staff
Posted: Tue December 29, 2009 9:48 pm
china wholesale market

SAUDI ARABIA. Saudi Basic Industries Corp., the world’s largest petrochemical maker known as Sabic, plans to raise SAR10 billion (US$2.7 billion) in a private placement of bonds to the government-run Public Investment Fund reported Bloomberg, citing a company statement.

The seven-year notes will help finance the company’s expansion plans, the Riyadh-based petrochemical maker said in a statement on the Saudi bourse Website today. Sabic signed an agreement with the Public Investment Fund for the bond issue, according to the statement.

Sabic wants to triple its petrochemical production to 130 million tons by 2020 by building plants and acquiring facilities as the company prepares for higher demand for its products. Sabic’s bond issue will be the biggest since June when Saudi Electricity Co., the state-controlled power producer, raised 7 billion riyals by selling five-year Islamic bonds.

The Public Investment Fund, set up by a royal decree, provides financing for projects that are of a commercial nature and are having a significant importance in developing the national economy, according to information available on the Ministry of Finance website.

 

MIDDLE EAST BUSINESS COMMENT & ANALYSIS

date:Posted: March 28, 2015
QATAR. S&P projects real economic growth to average about 4% annually in 2015-2018, sustained by the government's US$220 billion investment program.
date:Posted: March 28, 2015
QATAR. Notwithstanding the weak start for the global economy, Asian economies are expected to continue to grow rapidly in 2015. We expect economic growth to average 5.7% in 2015, the same rate as in 2014.
date:Posted: March 27, 2015
INTERNATIONAL. Yemen's close proximity to Saudi Arabia and its strategic location on one side of the fourth busiest shipping lane for crude oil, raise worries about potential disruptions.
dhgate