Sadara Chemical Company has successfully closed sukuk issued through its subsidiary Sadara Basic Services Company (SBSC). The sukuk has received strong investor demand, resulting in 2.6 times oversubscription based on the initial offering size of SR5.25 billion. In keeping with this demand, Sadara has upsized the issuance to SR7.5 billion. The sukuk are floating rate sukuk and will have a tenor of approximately sixteen years. The sukuk investors will receive an expected return of 6 month SAIBOR plus 95 basis points per annum, to be distributed semi-annually. The net proceeds of the issue of the sukuk will be used to provide finance for, and procure the construction and delivery of, plants forming part of a chemicals complex located in Jubail Industrial City II in the Eastern Province. SBSC is a joint stock company with commercial registration number 2055018374, established in Saudi Arabia for the purpose of issuing the sukuk on behalf of Sadara. The sukuk issuance was approved by the joint Shariah committee of Alinma Investment Company and AlBilad Investment Company by the Shariah committee of Riyad Capital and the Shariah advisor of Deutsche Securities Saudi Arabia. Sadara has appointed AlBilad Investment Company, Alinma Investment Company, Deutsche Securities Saudi Arabia L.L.C. and Riyad Capital as joint lead managers and joint book runners. The legal advisers to the joint lead managers are Milbank, Tweed, Hadley & McCloy LLP and Zeyad S. Khoshaim Law Firm in association with Allen & Overy LLP. In addition, the legal advisers to SBSC and Sadara are Dr. Waleed N. Al-Nuwaiser in association with White & Case LLP, and Hatem Abbas Ghazzawi & Co. — SG
