Binghatti, a prominent developer based in Dubai, has achieved a significant milestone with the successful launch of its inaugural $300 million, three-year sukuk issuance. This Islamic bond, priced competitively at 9.625%, has tightened by 30 basis points, showcasing robust investor confidence and demand.

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Global investors have shown remarkable interest in this offering, driving the order book to peak at 2.1 times subscription, reflecting a strong demand for Binghatti’s sukuk. The order book soared to $621 million, underscoring the widespread appeal of the investment.

Prior to the issuance, Binghatti engaged with investors through international roadshows in Asia and the UK, attracting a diverse range of stakeholders. Notably, significant contributions to the order book hailed from the UK, Europe, and Asia, highlighting a broad investor base.

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This transaction marks the first MENA-region sukuk in 2024 benchmarked in real estate and denominated in US dollars, adding to its appeal for investors seeking diverse investment opportunities.

Emirates NBD, Dubai Islamic Bank, HSBC, Abu Dhabi Islamic Bank, Sharjah Islamic Bank, Mashreq Bank, and RAKBank served as joint lead managers (JLMs) and book runners, facilitating the successful execution of the sukuk issuance.

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Muhammad BinGhatti, CEO of Binghatti, expressed delight at the overwhelming success of the debut sukuk issuance, attributing it to investors’ trust in the company’s business model and investment proposition. He emphasized that the market’s enthusiastic response underscores Binghatti’s esteemed position in the sector.

In conclusion, Binghatti’s inaugural sukuk issuance has garnered significant attention from global investors, reflecting confidence in the company’s growth prospects and solidifying its position as a leading player in the real estate sector.