Mohamed Alabbar rings Nasdaq Dubai bell for Emaar's sukuk
$500m sukuk bearing an annual return rate of 3.875% to support Emaar's regional and global expansion plans
Chairman of Dubai-based real estate developer Emaar Properties, Mohamed Alabbar, rang the Nasdaq Dubai opening bell to celebrate the firm's listing of a 10-year sukuk worth $500m (AED1.8bn) with an annual return rate of 3.875% as part of its $2bn (AED7.3bn) bond issuance programme.
The capital raised will support Emaar Properties’ regional and international expansion plans, the developer behind Burj Khalifa said in a statement.
Commenting on the development, Alabbar said: “The growth of the sukuk market has been tremendous and has helped bridge the gap in infrastructure financing particularly with projects linking to the real economy.
"Listing our sukuk on Nasdaq Dubai provides our issuance with a well-regulated platform with high visibility and close links to market participants regionally and around the world.”
Emaar Properties’ $500m sukuk was listed exclusively on Nasdaq Dubai on 18 September 2019.
Construction Week reported earlier this month that the Dubai Financial Market-listed (DFM) real estate developer had picked Standard Chartered as the sole global coordinator for the 10-year issuance.
Emaar Properties listed a $750m (AED2.75bn) sukuk on Nasdaq Dubai in 2016, while Emaar Malls listed a $750m (AED2.75bn) sukuk in 2014.
Remarking on Emaar's latest listing, governor of Dubai International Financial Centre, secretary general of Dubai Islamic Economy Development Centre, and chairman of DFM, HE Essa Kazim, said: “The cooperation between Emaar group and Nasdaq Dubai underlines Dubai’s strength and depth in the sukuk sector as part of the emirate’s growth as the global capital of the Islamic economy, under the initiative launched by HH Sheikh Mohammed Bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE, and Ruler of Dubai.”