DUBAI, June 13 (Reuters) - Saudi Basic Industries Corp
on Wednesday said it intends to repay an 8 billion
riyal ($2.13 billion) Islamic bond, or sukuk, ahead of maturity,
from internal cash balances.
The petrochemicals giant sold the 20-year sukuk in 2007 in a
deal which was arranged by HSBC's Saudi Arabian unit.
The bond had a call option after five years, allowing SABIC to
repay investors early, a Saudi-based banker told Reuters.
The company said in a statement to the Saudi stock exchange
that it will purchase the assets in accordance with the
terms and conditions of the sukuk, which will stop trading on
"The amounts due to the sukukholders will be deposited to
the sukukholders accounts on July 15 2012 from the company's
available cash. Subsequently, the sukuk will be delisted and
cancelled," the statement said.
SABIC is the largest listed company by market capitalisation
in the six member Gulf Cooperation Council (GCC). Shares ended
0.8 percent higher on Wednesday.
($1 = 3.7503 Saudi riyals)
(Reporting by David French; Editing by Rachna Uppal)