DEWA lists planned $1bn Sukuk on Nasdaq Dubai
24 Mar 2013 02:33 GMT
 
Dubai: The United Arab Emirates is vigorously implementing its plans to become the leading Sukuk issuer in the world and Dubai is on top in issuing Islamic bonds one after another. Recently, a planned $1 billion Sukuk has been listed on Nasdaq Dubai by Dubai Electricity and Water Authority (DEWA).

Dubai: The United Arab Emirates is vigorously implementing its plans to become the leading Sukuk issuer in the world and Dubai is on top in issuing Islamic bonds one after another. Recently, a planned $1 billion Sukuk has been listed on Nasdaq Dubai by Dubai Electricity and Water Authority (DEWA).

According to the state news agency WAM, DEWA has listed its planned $1 billion sukuk, or Islamic bond, on Nasdaq Dubai.

The sukuk, DEWA’s first global debt market outing since 2010, has raised more than expected, with WAM claiming regional and global investors have reacted positively, leading to an increase in the value of sukuk listed on Nasdaq to $6.24 billion, while the value of sukuk listed in Dubai bourses rose to $10.173 billion.

Two weeks before the launch, arranging banks said that order books have hit $5.5 billion, while regional traders said that the paper was already trading up in the grey market.

The state utility, rated BBB, has sought a profit of about 3 percent.

The proceeds from the five-year deal will be used to refinance existing maturities as well as for new projects.

Standard Chartered, Citigroup, RBS and local lenders Emirates NBD, Dubai Islamic Bank and Abu Dhabi Islamic Bank are mandated joint book runners on the deal.



-- Al Arabiya Digital


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