Saudi Gazette - Saudi borrowers may turn toward riyal bond mart

Saudi Gazette - Saudi borrowers may turn toward riyal bond mart:

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Two Gulf Arab borrowers have attracted heavy investor demand for international bond sales in the past two weeks, but higher yield premiums are prompting many other potential issuers in the region to seek alternative funding sources.

In the case of Saudi Arabia, companies that might have issued bonds in the international market may now choose to issue in the country’s liquid riyal-denominated bond market.

In May, a senior executive at Almarai dairy firm hinted at a preference for an international bond issue, but last month the company appointed banks to structure a hybrid bond which, sources familiar with the situation said, is likely to be riyal-denominated."

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