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A&O Shearman advises HSBC Saudi Arabia on first residential mortgage-backed securities issuance in the Kingdom of Saudi Arabia

A&O Shearman advises HSBC Saudi Arabia on first residential mortgage-backed securities issuance in the Kingdom of Saudi Arabia
Published Date
Oct 13 2025
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Image of Salim Nathoo
Salim NathooPartner, London
Image of Bilal Ahmad
Bilal AhmadPartner, Dubai
Image of Hosam Ibn Ghaith
Hosam Ibn GhaithPartner, Riyadh
Image of Chris Angus
Chris AngusPartner, Dubai
Image of Poppy Latham
Poppy LathamSenior Associate, London

A&O Shearman is pleased to announce its role in advising HSBC Saudi Arabia in its capacities as arranger, bookrunner, structuring advisor and sukukholders’ agent on the first residential mortgage-backed securities (RMBS) issuance in the Kingdom of Saudi Arabia  by Saudi Real Estate Refinance Company (SRC), a Public Investment Fund (PIF) company.

This landmark transaction represents the first RMBS issuance in the Kingdom. By introducing a new, Shari’ah-compliant asset class to the secondary real estate market, the issuance constitutes a significant step towards broadening investment opportunities, diversifying funding sources for primary mortgage financiers, and deepening investor participation in the Kingdom’s housing finance sector.

“The transaction breaks new ground for the region and utilizes the momentum created by recent Saudi law changes, which will provide a template for future transactions.”

“We are delighted to have supported HSBC Saudi Arabia on delivering the Kingdom’s inaugural RMBS issuance. Our involvement reflects the growing sophistication of the Kingdom’s capital markets and underscores A&O Shearman’s ability to advise on complex, precedent setting capital markets transactions across the GCC.”

A&O Shearman supported the inaugural issuance through a cross-border, cross-practice team led by partners Bilal Ahmad, Salim Nathoo, and Hosam Ibn Ghaith, with senior associate Poppy Latham drawing on the firm’s market leading experience in Middle East securitization and Islamic finance. Partner Chris Angus advised HSBC in its agent capacities.

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