Dubai’s DP World has raised $1.2bn from a new 7-year sukuk set to be listed on NASDAQ Dubai, with the issue two times oversubscribed receiving more than $2bn in bids.
The new issue follows DP World’s successful refinancing of over $1.1bn of an existing $1.5bn sukuk. The raised money will fund the tender offer along with general corporate purposes.
“As a leading enabler of global trade, we have taken advantage of attractive market conditions to successfully execute the first tender offer in the region and issue a new sukuk to drive our ongoing growth strategy. We have chosen to list our new issuance on Nasdaq Dubai, the largest sukuk market globally with over 50 listings worth $40billion. NASDAQ Dubai gives this new listing, as well as our 2020 and 2037 bonds, global visibility at home and overseas. Our sukuk listing fits with the vision of His Highness Sheikh Mohammed Bin Rashid Al Maktoum, UAE Vice President, Prime Minster and Ruler of Dubai, to position Dubai as the Capital of the Islamic Economy globally,” said DP World Group chairman and ceo, Sultan Ahmed Bin Sulayem.
“The strong demand for our new sukuk is a clear sign of support for the economic fundamentals of Dubai and the UAE, and a positive outlook on DP World’s growth trajectory and credit ratings. Dubai is clearly the leading destination for global sukuk and a hub for those seeking attractive Islamic finance opportunities, “ he added.
DP World reported a 31% year-on-year increase in net profit to $883m for the year of 2015.
