The company has appointed banks including HSBC and the securities units of Al Rajhi Bank and Saudi National Bank to advise on the debt sale
The issuance marks the first real estate benchmark US dollar-denominated sukuk from the MENA region in 2024
The state-owned energy firm last tapped global debt markets in 2021, when it raised $6bn from the sale of a three-tranche sukuk
The company, which is listed on Riyadh’s Tadawul exchange and manages Saudi German Hospitals, will use the proceeds for general corporate purposes
The order book for First Abu Dhabi Bank’s sukuk, which was 1.9 times oversubscribed, represented leading investors, including international fund managers, banks and supranationals
The growth in outstanding sukuk is attributed to several factors that are driving the issuance of Islamic bonds including issuers that seek to plug budget deficits
The country has been encouraging issuers to raise green and sustainability-linked bonds, and sukuk to accelerate its transition to a low-carbon economy
The waiver applies to all new and repeat issuers who make a relevant application to the Dubai Financial Services Authority
The issuance was offered in five and seven-year dual tenors, marking the final two tranches under its SAR20bn government-guaranteed sukuk programme
The government has been looking to tap less conventional sources of finance since a foreign borrowing spree caused its repayment schedule to balloon
The proceeds from the sukuk issuance will be used to fund eligible green projects in line with the company’s recently published sustainable finance framework
The trading of the certificates on the Irish Stock Exchange was cancelled upon redemption of the certificates
HSBC Saudi Arabia, Al Rajhi Capital, SNB Capital, and AlJazira Capital have been appointed as joint lead managers to lead the transaction
Sukuk and bonds had a high pricing correlation of 0.95 (out of 1) on average and low average spreads between 2018 and H1 2023
The Shariah-compliant bank’s total income reached Dhs9.3bn during the quarter, up 49 per cent from Dhs6.22bn the same period a year ago
Sukuk issuance is expected to plunge in Q3 2023 before picking up pace in the last quarter of the year
The issuance was met with robust demand, attracting interest from over 240 global and regional investors with the final order exceeding $7bn
The SCA board approved the decision to exempt the fee for this year for companies planning to list their sustainability-linked bond or sukuk
This is the sixth tranche under SRC’s upsized SAR20bn sukuk programme
The conglomerate will use the proceeds from its fourth green sukuk issuance to refinance an older $800m bond commitment due in May 2024
The T-Sukuk auction will be followed by a listing on Nasdaq Dubai to promote secondary market trading along with primary dealers
The bank’s balance sheet expanded by 1.3 per cent YTD to Dhs292bn while customer deposits settled at Dhs198bn
The Abu Dhabi-listed firm said proceeds from the issuances will be used to finance eligible green projects including renewable energy
Emirates NBD said that the sukuk received strong appetite from regional and global emerging market investors
The second tap was executed based on investor feedback and inquiries, following extensive roadshows across the UK and GCC
The three-year issue witnessed robust demand and was oversubscribed by 2.5 times
The transaction marked the largest issue size in international capital markets by a GCC bank since February 2022
Global sukuk issuance in the first half of 2022 raised $100.9bn, marginally lower than $104.2bn in H1 2021
The Indonesian government is one of the largest sukuk issuers on Nasdaq Dubai
The issuance witnessed demand from regional and international investors, with a subscription order of $720m, more than two times the offer size