Saudi developer Dar Al Arkan lowers price guidance on sukuk

Dubai: Saudi developer Dar Al Arkan has lowered price guidance on its planned Islamic bond issue, a document from lead bankers on the issue showed on Tuesday.

The company, which is planning to raise at least $300 million (Dh1.1 billion) from a five-year Islamic bond, revised its guidance lower to around 6 per cent from initial yield guidance of 6.25 per cent, the document showed.

An update from lead arrangers on Monday indicated that order books were over $500 million.

Dar Al Arkan has picked Bahrain-based Bank Al Khair, Deutsche Bank, Emirates NBD, Goldman Sachs and Qatari pair Masraf Al Rayan and QInvest to arrange the potential sale.