SEC picks banks for sukuk sale

DUBAI: Saudi Electricity Co. (SEC), the Gulf's largest utility, has picked two banks to arrange meetings with fixed income investors in Europe and the United States ahead of a possible debt issue, a statement from the lead managers said.
State-owned SEC has chosen Deutsche Bank and HSBC Holdings to arrange the roadshows, which begin on March 19 in Los Angeles and conclude in London on March 25.
A dollar-denominated bond issue may follow, subject to market conditions, the statement added.
Saudi Electric last tapped the international bond market in March 2012, pricing a $ 1.75 billion two-part Islamic bond split between a $ 500 million five-year portion and a $ 1.25 billion piece which had a 10-year lifespan.

Fitch Ratings affirmed Saudi Electric's AA- rating in February, citing high government ownership and its monopoly position against its weakening standalone credit fundamentals.