ASB Capital Bookruns Arab National Bank's $750M Perpetual AT1 Sukuk
The Saudi lender priced the perpetual notes at a 6.5% profit rate, drawing orders above $3 billion against a $750 million issue size.
Tariq Benali Tariq Benali covers business and corporate news across the UAE and MENA for Anecdoted, tracking the deals, leadership moves and regulatory shifts behind the region's companies. tariq@anecdoted.com
ASB Capital acted as joint lead manager and bookrunner on a $750 million perpetual Additional Tier 1 sukuk sold by Arab National Bank, the asset and wealth manager said Wednesday. The Saudi lender priced the notes at a 6.5% profit rate.
The sukuk carries no fixed maturity and can be called after five years. It trades on the International Securities Market run by the London Stock Exchange. Investor demand pushed the order book past $3 billion, more than four times the amount raised.
Additional Tier 1 instruments sit inside a bank's regulatory capital base, which makes pricing and distribution central to how issuers approach a sale of this kind.
A syndicate of regional and international banks
ASB Capital worked the transaction alongside a group of regional and international institutions. The syndicate included ANB Capital, Arab Bank, Arqaam Capital and Warba Bank, together with HSBC, Standard Chartered Bank, Citigroup Global Markets, Goldman Sachs International and Mizuho International.
"Participating alongside leading global and regional institutions on a major Saudi bank capital transaction demonstrates the progress of our strategy and is in line with our direction to increase fixed income exposure," said Hussain Abdulaq, chief treasury officer at Al Salam Bank, the parent company of ASB Capital.
First mandate with the Saudi lender
This is the first time ASB Capital has worked with Arab National Bank. The firm said the deal widens its presence in the Kingdom's banking sector, and that it is pushing further into capital markets and investment banking while running its existing asset management and advisory business.
ASB Capital oversees $10.2 billion in assets under management.
"The transaction expands our relationships across Saudi Arabia's banking sector and reflects the trust issuers place in our execution and distribution capabilities," said Hichem Djouhri, senior executive officer of ASB Capital. "We remain focused on connecting regional institutions with a broad investor base and supporting their capital management objectives."
Earlier work across the Gulf
The manager has taken part in a series of debt capital markets deals in the GCC. Those include issuances for Kuwait Finance House, Kuwait International Bank, Bapco Energies, Solidarity Bahrain, Al Salam Bank, Alinma Bank, Dubai Islamic Bank, AlJazira Bank, Ajman Bank and the Saudi Real Estate Refinance Company.
Arab National Bank holds 44th place in a 2026 ranking of the region's 100 most valuable companies. Djouhri sits 21st on a 2026 list of the top 50 asset managers.
