Dubai Islamic Bank closes $1b senior sukuk

Stock Dubai Islamic Bank
Dubai Islamic Bank Image Credit: Antonin Kelian Kallouche/Gulf News

Dubai: Dubai Islamic Bank successfully priced $1 billion 5 year sukuk issue with a profit rate of 1.95 per cent per annum.

This transaction represents the lowest ever pricing achieved by DIB on any of their previous sukuk issuances. Despite the heavy sukuk supply witnessed in the market over the last week, this marks the bank’s strong credit profile.

The deal was priced intraday after completing investor calls, which were attended by several local, regional and international investors. The sukuk was 3 times oversubscribed with an orderbook that peaked at $3 billion.

“We are very pleased with the outcome of our latest transaction. Despite the heavy issuance window, and a clutter of new issuances in the market, DIB once again executed a very successful $1 billion sukuk. In 2021, both our AT1 capital and now senior issuance have been issued at record low levels which is a clear testament to the confidence global markets place in the bank’s robust fundamentals,” said Dr. Adnan Chilwan, Group Chief Executive Officer, DIB

The sukuk is issued under DIB Sukuk Ltd. and is listed on Euronext Dublin and NASDAQ Dubai.