“BIDAYA” REPAID IN FULL THE FIRST TRANCH OF IT’S SUKUK PROGRAM
Posted on 9-10-2019
Riyadh October, 2019: Bidaya Home Finance Company, Saudi Arabia’s leading non-bank provider of home financing products, today announced that it has repaid in full the first tranche of its SR 500 M Sukuk program worth of SR 250M.
The SR 250M tranche was issued in April 2018 and was utilized for general corporate and lending purposes.
Mr. Mazin Al Ghunaim, Bidaya’s CEO said “The Sukuk was a landmark transaction for us and we were the first mortgage house to access the capital markets in this way. The timely repayment of the Sukuk [from our own resources] demonstrates the financial strength of the Company and is testament to the success of our [strategy] which is to provide attractive home finance solutions through our digital platform in a manner which is bold and innovative. The customer journey and service proposition we provide is something we are proud of, and it is this which drives our success and enables us to lead among our peers.”
Founded in 2015, Bidaya commenced lending operations in January 2016 and since that time has financed [More than 4000] of Ijarah contracts, enabling [16,000] Household serviced members to own their own homes. Earlier this year the Company announced further landmark transactions which it will bring to market as required, including a further SR 1bn Sukuk, a SR 0.5bn RMBS program and an asset sale program with the SRC worth SR 0.5bn. From commencing lending activities in April 2016, Bidaya has been profitable since Q3 of 2018 and has attained the position of being the Kingdom’s #1 home finance provider amongst non-banking lenders with a market share of [30% vs NBFLs] as of [September 2019].