The Saudi Telecom Company (STC) plans to issue international Trust Certificates (sukuk) in US dollars under its $5 billion international sukuk programme, which will be established on January 6, 2026, after receiving board approval on September 30, 2025.
This issuance will be made via an offshore special purpose vehicle (SPV). The sukuk can be issued in one or more tranches or series and sold to qualified investors in Saudi Arabia and overseas, subject to market conditions.
STC has retained the services of BNP Paribas, Citibank, Dubai Islamic Bank (DIB), Emirates NBD Capital, HSBC, Islamic Corporation to the Development of the Private Sector (ICD), Kuwait Finance House Capital (KFH), Mashreq Bank, National Bank of Greece (NBG), SNB Capital, and Standard Chartered Bank as joint lead managers to the intended offering.
However, the amount and terms of the sukuk will be acknowledged based on market conditions. The funds will be utilized for general corporate purposes.
STC, which is 62 percent owned by the Public Investment Fund, in 2025, and signed an $8.7 billion 15-year contract with the Saudi government to create, operate, and offer telecommunications infrastructure services.
Thus, Fitch Ratings recently reaffirmed STC at A+ and a stable outlook. The ratings agency declared that the company is among the least leveraged telecoms they have rated.
