Saudi Civil Aviation Hires HSBC, NCB, StanChart for Sukuk

Saudi Arabia’s General Authority of Civil Aviation hired three banks for a local-currency sukuk. The Saudi Arabian affiliate of HSBC Holdings Plc (HSBA), National Commercial Bank’s investment banking unit and Standard Chartered Plc will manage the sukuk sale. NCB Capital and Standard Chartered bid jointly for the mandate. It was not specified how much the authority sought to raise, neither was the timing of the sale. GACA said last year it plans to issue a second tranche of notes to fund an airport expansion in the Saudi capital, Riyadh. The company sold Islamic debt last year at 2.5 percent and used proceeds to finance an airport expansion in the Red Sea port city of Jeddah.