Sipchem plans early redemption of SAR 1 bln sukuk in April 2021

Logo of Sahara International Petrochemical Co.

Sahara International Petrochemical Co. (Sipchem) is planning to fully redeem its SAR 1 billion sukuk on April 18, 2021, at face value, the company said in a statement to Tadawul today, March 4, 2021.

The sukuk was offered through a private placement on June 16, 2016, while the original maturity date is June 16, 2021.

The company indicated its intention to redeem the sukuk early with regard to the financing of the redemption of the sukuk on a date not earlier than the expiry date by more than two months (refinancing redemption date).

The redemption amount along with the periodic distribution amount (for the period up to refinancing redemption date) will be transferred to sukuk holders on April 18, 2021, based on their respective holdings as of April 7, 2021, the statement added.

A total of 1,000 sukuks, at a nominal value of SAR 1 million each, were issued. Trading on sukuk will be suspended on April 7, 2021, while the amounts will be deposited in the sukuk holders accounts by April 15, 2021.

As the payment administrator, NCB Capital is responsible for depositing and contact methods.