Gulf International Bank – Saudi Arabia Completes USD 500 Million International Additional Tier 1 Bond Issuance

Gulf International Bank – Saudi Arabia (“GIB Saudi Arabia”) has successfully priced a USD 500 million Additional Tier 1 (AT1) bond under its USD 1.5 billion AT1 Capital Note Programme. The proceeds will be used to strengthen the Bank’s capital base, diversify its funding sources, and advance its strategic objectives in alignment with Saudi Arabia’s Vision 2030.

The transaction underscores GIB Saudi Arabia’s strong financial position and prudent capital management strategy, reinforcing its ability to access international markets efficiently and competitively. The robust participation from investors across multiple regions reflects continued confidence in the Bank’s financial performance, governance standards, and the Kingdom of Saudi Arabia’s positive economic outlook.

The issuance attracted significant demand, with the order book peaking at USD 1.3 billion, representing an oversubscription of 2.6 times the offering size. The bonds were priced at a yield of 6.625%, demonstrating investor confidence in GIB Saudi Arabia’s credit fundamentals and long-term resilience.

Khaled Abbas, Chief Executive Officer of GIB Saudi Arabia, commented: “The success of this landmark issuance reflects investors’ confidence in GIB Saudi Arabia’s solid fundamentals and disciplined strategy. It enhances our capital strength, deepens our access to international markets, and reinforces our role in supporting the Kingdom’s financial sector development and Vision 2030 objectives. We remain focused on delivering strong performance and sustainable growth for our stakeholders.”

This issuance further strengthens GIB Saudi Arabia’s position as a leading Saudi financial institution with a growing international presence, highlighting its commitment to sound capital management and sustainable value creation for clients and stakeholders.

The AT1 bonds will be listed on the London Stock Exchange.