Bank Albilad — Capital/Financing Update 2021

Apr 1, 2021

Bank Albilad announces the commencement of the offer of its Tier 2 Sukuk.

1140 · 01/04/2021 08:01:18 · Announcement #62594 · View on Saudi Exchange

Bank Albilad announces the commencement of the offer of its Tier 2 Sukuk.

Element List	Explanation
Introduction	With reference to the announcement from Bank Albilad (the “Bank”) published on the website of the Saudi Stock Exchange (Tadawul) on 25/03/2021G (corresponding to 12/08/1442H), relating to the intention of the Bank to issue a domestic SAR-denominated Tier 2 Sukuk for up to SAR 3,000,000,000, the Bank would like to announce the commencement of the offer of Tier 2 Sukuk (the “Sukuk”).

The offer also includes an option for the holders of the SAR 2,000,000,000 Sukuk (due 2026) that were previously issued by the Bank (the "Previous Sukuk") to exchange their investment in the Previous Sukuk with an investment in the Tier 2 Sukuk, subject to the terms and conditions of the Sukuk. Offer Type SAR-denominated Tier 2 Sukuk offered by way of private placement in the Kingdom of Saudi Arabia.

The holders of the Previous Sukuk also have an option to exchange their investment in the Previous Sukuk with an investment in the Tier 2 Sukuk, subject to the terms and conditions of the Sukuk. Value of the offer The amount of the issuance and number of Sukuk to be offered will be determined based on the market conditions. Offering start Date 2021-04-01 Corresponding to 1442-08-19 Offering end Date 2021-04-15 Corresponding to 1442-09-03 The targeted class of the issuance Sophisticated Investors in accordance with Article 9 of the Rules on the Offer of Securities and Continuing Obligations issued by the Board of the Capital Market Authority Resolution No. (3-123-2017) dated 09/04/1439H corresponding to 27/12/2017G and amended by the Board of the Capital Market Authority Resolution no. (1-104-2019) dated 01/02/1441H corresponding to 30/09/2019G. Name of Issuance Manager Albilad Capital as Sole Arranger and Dealer. Minimum Subscription One million Saudi Riyals (SAR 1,000,000). Offer Price (Sukuk /Bonds) One million Saudi Riyals (SAR 1,000,000). Par Value One million Saudi Riyals (SAR 1,000,000). Return (Sukuk /Bonds) 3-month SAIBOR in addition to a margin (to be determined subject to market conditions). Maturity (Sukuk /Bonds) 10 years callable at year 5, subject to the terms and conditions of the Sukuk. Terms of Redemption The Sukuk shall be redeemed on the maturity date.

The Sukuk may be redeemed prior to the maturity date in certain cases due to a capital disqualification event, a tax event, an event of default, or an issuer call option, each pursuant to terms and conditions of the Sukuk. Additional Information The Offering End Date referred to above is the expected date of the end of the offering, subject to market conditions.

This announcement is not intended as an invitation or offer to purchase, acquire or subscribe to any securities and is subject to the terms and conditions of the Sukuk. The Bank will announce any other relevant material developments in due course as required by the relevant rules and regulations.

The Capital Market Authority and Saudi Exchange take no responsibility for the contents of this disclosure, make no representations as to its accuracy or completeness, and expressly disclaim any liability whatsoever for any loss arising from, or incurred in reliance upon, any part of this disclosure, and the issuer accepts full responsibility for the accuracy of the information contained in it and confirms, having made all reasonable enquiries, that to the best of their knowledge and belief, there are no other facts or information the omission of which would make the disclosure misleading, incomplete or inaccurate.