Bank Al Jazira launches USD benchmark perpetual bond offering

Published 15/09/2025, 09:46
Bank Al Jazira launches USD benchmark perpetual bond offering

LONDON - Bank Al Jazira has announced plans to issue a USD benchmark perpetual non-call 5.5-year bond, according to a stabilization notice issued Monday. The Saudi bank’s securities will be listed on the London Stock Exchange’s International Securities Market.

JP Morgan Securities PLC will serve as the stabilization coordinator for the offering, with AlJazira Capital, Citi, Emirates NBD Capital, Mashreq Bank, and Standard Chartered Bank acting as stabilization managers.

The stabilization period is expected to begin on September 15, 2025, and end no later than October 15, 2025. During this time, stabilization managers may over-allot securities by up to 5% of the aggregate nominal amount to support the market price.

The minimum investment for the dollar-denominated securities will be USD 200,000 with increments of USD 1,000 thereafter. The offer price has yet to be determined.

The securities have not been registered under the United States Securities Act of 1933 and will not be offered or sold in the United States, according to the press release statement.

The announcement comes as Gulf banks continue to tap international debt markets amid favorable financing conditions. Perpetual bonds, which have no maturity date, typically offer higher yields to compensate investors for the increased risk compared to traditional fixed-term debt instruments.

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