Arab Today, arab today dubai sukuk sale raises 125b
Last Updated : GMT 05:43:50
Arab Today, arab today
Arab Today, arab today

Dubai sukuk sale raises $1.25b

Arab Today, arab today

Arab Today, arab today Dubai sukuk sale raises $1.25b

Dubai - Arabstoday

The Dubai government launched a $1.25 billion two-tranche Islamic bond, or sukuk, on Wednesday. The five and 10-year benchmark sukuk, backed by real estate assets, is Dubai’s first Islamic bond since 2009. According to issue arrangers, the sukuk was sold at the lower end of an earlier indicated yield guidance, signalling healthy appetite for the emirate’s latest debt market foray. The $600 million five-year tranche was launched at 4.9 per cent and a $650 million 10-year tranche was at 6.45 per cent. Final guidance issued earlier on Wednesday had been tighter than initial indications from the previous day. Reportedly, order books were almost $4 billion when books closed at about 0830 GMT. The new bonds were already trading higher in the grey market, an indication of demand for the deal, according to Reuters. The five-year tranche was trading 0.25/0.50 higher while the 10-year part was up 0.20/0.45 per cent, according to two regional traders. “The continued pickup in Dubai’s economy, led by the external sectors, should support demand for the issue along with the strong appetite for Islamic bonds,” said Monica Malik, chief economist at EFG Hermes. Dubai Islamic Bank, National Bank of Abu Dhabi, HSBC and Citi are the mandated bookrunners on the new deal. Proceeds of the issue will be used to cover the budget deficit and refinancing debt. Dubai’s budget deficit narrowed sharply to Dh3.7 billion last year, helped by higher oil revenues and lower spending on development projects, a sovereign bond prospectus produced by the emirate showed. The Dubai government’s direct debt fell 1.6 per cent at the end of March from May last year to Dh113.6 billion while outstanding debt of the government, excluding that of state-owned companies and other liabilities, was 38 per cent of its 2010 nominal gross domestic product of Dh300.8 billion. The government has direct public notes’ maturities of Dh6.5 billion in 2013, according to the prospectus, and just over Dh7 billion in 2014. In addition, related party debt, consisting of a $20 billion facility borrowed from Abu Dhabi in 2009 also matures in 2014. Investment bank Exotix said in a report that two-third of bank debt restructuring in Dubai are now complete following the resolution of Dubai International Capital’s $2.5 billion restructuring, The London-based bank said last week that there had been 11 debt restructuring situation across various Dubai government related entities, or GREs, totalling $34 billion in debt since the start of the Dubai World crisis in 2009. Six of these restructuring, totalling $21.9 billion are now complete, Exotix said. The bank estimates Dubai GREs still have $12.2 billion in bank debt negotiations outstanding, after completing several restructurings in the last year. EFG-Hermes, Middle East leading investment bank, recently raised Dubai’s market ranking to “overweight” from neutral as the emirate restructured its debt. Another GRE, Drydocks World - Dubai, a shipbuilding and repair conglomerate, also announced that it got an overwhelming backing from majority of its lenders” for its $2 billion debt restructuring bid.

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today dubai sukuk sale raises 125b Arab Today, arab today dubai sukuk sale raises 125b

 



Arab Today, arab today
Arab Today, arab today Fadi explains secrets of  Nancy Ajram's newlook

GMT 18:23 2017 Friday ,24 February

Fadi explains secrets of  Nancy Ajram's newlook
Arab Today, arab today Tourist guide explains types of tourism

GMT 18:28 2017 Saturday ,25 February

Tourist guide explains types of tourism
Arab Today, arab today Expresses Algerian history by woody figures

GMT 13:26 2017 Friday ,24 February

Expresses Algerian history by woody figures
Arab Today, arab today Iran complying with nuclear deal

GMT 07:14 2017 Saturday ,25 February

Iran complying with nuclear deal
Arab Today, arab today Ayat Abaza says state TV presented major stars

GMT 03:52 2017 Sunday ,26 February

Ayat Abaza says state TV presented major stars

GMT 12:30 2017 Friday ,24 February

Norway's Telenor to leave Indian telecom market

GMT 10:17 2017 Friday ,24 February

Dow stands out as global stocks tread water

GMT 16:11 2017 Thursday ,23 February

Bahrain Bourse daily trading report

GMT 16:08 2017 Thursday ,23 February

BHB holds VAT seminar

GMT 13:40 2017 Thursday ,23 February

Muscat Securities Market loses 17 points

GMT 13:18 2017 Thursday ,23 February

Bahrain Bourse daily trading report

GMT 05:51 2017 Thursday ,23 February

Saudi stocks edge up as Brent futures rebound
View News in Arabic - Business: أسواق مالية
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Reading therapy relieves mental disorders

GMT 15:39 2017 Friday ,24 February

Reading therapy relieves mental disorders
Arab Today, arab today UK appoints 1st Scotland Yard chief in 188 years

GMT 05:14 2017 Thursday ,23 February

UK appoints 1st Scotland Yard chief in 188 years
Arab Today, arab today Penguins in the age of dinos

GMT 11:44 2017 Saturday ,25 February

Penguins in the age of dinos
Arab Today, arab today Pluto's unruly moons

GMT 06:31 2015 Thursday ,04 June

Pluto's unruly moons
Arab Today, arab today 'Constructive' Vauxhall talk with union

GMT 08:54 2017 Saturday ,25 February

'Constructive' Vauxhall talk with union
Arab Today, arab today Tesla back into red but revenue grows

GMT 07:27 2017 Thursday ,23 February

Tesla back into red but revenue grows
Arab Today, arab today Actress Lobna Abdel Aziz proud of her career

GMT 06:08 2017 Thursday ,23 February

Actress Lobna Abdel Aziz proud of her career
Arab Today, arab today Ex-yoga missionary unleashes rage

GMT 12:16 2017 Thursday ,23 February

Ex-yoga missionary unleashes rage

GMT 07:36 2017 Wednesday ,22 February

Wafaa Amer is happy for Sherihan’s return

GMT 12:35 2017 Tuesday ,21 February

63-Year-Old Woman Delivers Baby

GMT 22:42 2017 Thursday ,23 February

Nasima Gamei revives heritage in jewelries

GMT 10:28 2017 Wednesday ,22 February

Milan laughs while Rome cries

GMT 20:33 2017 Friday ,17 February

To release new antiques collection

GMT 10:20 2017 Thursday ,23 February

Brazil's top diplomat resigns

GMT 11:54 2017 Thursday ,23 February

Saudis await visitors but will they come?

GMT 13:12 2015 Saturday ,09 May

Sheikh Sultan opens Sharjah Centre

GMT 20:02 2017 Tuesday ,21 February

Nohan Seyam designs beautiful accessories
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday