Emaar marks $500m sukuk dual listing in style
Dubai, February 5, 2014
Mohamed Alabbar, the chairman of Emaar Properties, today rang the market opening bell to mark the dual listing of a $500 million sukuk by the property developer issued in 2011 on Nasdaq Dubai.
The new listing adds new momentum to Dubai’s expansion as global sukuk centre, said the builder of the world's tallest tower, the Burj Khalifa, in a statement.
Marking the first debt public offering out of the region in 2011, the 5.5 years Emaar sukuk was very well-received. Later in 2012, Emaar listed another $500 million sukuk maturing in 2019 on Nasdaq Dubai.
Ten times oversubscribed, the sukuk’s success underlined Emaar's strong value proposition and the credit standing of the company in international financial markets, the Emaar statement added.
The bell ceremony at Dubai Financial Market (DFM) took place in the presence of Mohammed Abdulla Al Gergawi, the chairman of The Executive Office of His Highness Sheikh Mohammed Bin Rashid Al Maktoum and board chairman of Dubai Islamic Economy Development Centre; Essa Kazim, the chairman of DFM and secretary general of the Dubai Islamic Economy Development Centre; Abdul Wahed Al Fahim, the chairman of Nasdaq Dubai; and Hamed Ali, the chief executive of Nasdaq Dubai.
Al Gergawi said the successful issuance and listing heralds new growth in the Sharia’a capital markets as more companies and organisations are choosing to fuel their development by using the Islamic financing opportunities provided by Dubai’s sophisticated issuance and listing infrastructure.
Alabbar pointed out that the strong international investor interest to Emaar's international fixed-income offerings underlines the financial fundamentals of the company and its ability to create long-term value for stakeholders through world-class projects in Dubai and other international markets.
"The dual listing of our 2016 sukuk on Nasdaq Dubai, an international stock exchange serving the region, highlights our commitment to support the vision of Dubai ruler to establish the emirate as the global capital of the Islamic economy and further cement the city’s status as a leading business hub," he noted.
"In addition to providing a world-class regulatory framework, the second listing of the well-received sukuk here in Dubai, opens doors to a larger cross-section of investors from across the world," added Alabbar.
Essa Kazim said Islamic finance solutions were playing a growing role in the services provided by Dubai’s exchanges to issuers and investors in the region and beyond.
"We will maintain our drive to streamline and enhance our infrastructure to ensure that participants benefit from a transparent and efficient market, which in turn supports the growth and development of the economy as a whole," he noted.
Al Fahim pointed out that Nasdaq Dubai was delighted to provide Emaar, as one of the most prominent companies in the Middle East, with a platform to support its further expansion.
"We will continually optimise our admission practices and procedures to ensure we remain highly competitive as a listing venue for Sukuk as well as other asset classes," he added.
Nasdaq Dubai has listed 10 sukuk since the beginning of 2013 with a total nominal value of $6.1 billion.-TradeArabia News Service