Bahrain’s proposed Sukuk trust certificates assigned ‘BB-‘ preliminary rating

S&P has assigned its preliminary ‘BB-‘ long-term foreign currency rating to the planned US dollar-denominated Sukuk transaction by CBB International Sukuk Company 6 SPC (Bahrain Sukuk), a single-person company incorporated in the Kingdom of Bahrain.

Under the transaction documents, Bahrain Sukuk will enter, among other contracts, into an Ijarah head and sub lease agreements and Murabaha agreement with the Kingdom of Bahrain acting through the ministry of finance. The preliminary ‘BB-‘ issue rating on the trust certificates reflects the rating on Bahrain.

Bahrain will provide sufficient and timely contractual obligations for the repayment of the periodic distribution amounts and the principal amount at the maturity of the Sukuk or in the case of an early dissolution event.

 

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