RIYADH: Saudi Arabia’s Public Investment Fund has completed the pricing of a bond offering worth $5 billion. The offering was more than five times oversubscribed, with order books reaching $27 billion, it announced in a statement. It comprises three tranches – one valued at $1.75bn with 5-year coupon maturing in 2029, another for the same amount with a 10-year coupon, and the final valued at $1.5bn over a 30-year period. Fahad Al-Saif, head of PIF’s Global Capital Finance Division, said: “Continued strong demand from international institutional investors is testament to the ongoing success of PIF"s medium-term capital raising strategy. “It is also reflective of PIF’s strong credit profile and financial strength, highlighting its role as one of the key drivers of Saudi Arabia’s economic transformation and as one of the largest and most impactful sovereign wealth funds globally.” Loans and debt instruments represent one of PIF’s four sources of funding. The wealth fund is rated A1 by Moody’s with a positive outlook and A+ by Fitch with a stable outlook. In October 2023, the fund successfully concluded its Shariah-compliant bonds totaling $3.5 billion. The sukuk offering attracted oversubscription more than seven times, with orders surpassing $25 billion, showcasing investor confidence in PIF, according to an official statement. The overall issuance of Shariah-compliant bonds comprised two tranches. The initial tranche, amounting to $2.25 billion, matures in 2028, while the second tranche, totaling $1.25 billion, has a maturity set in 2033.