JobXDubai

Binghatti Holding, a leading property developer in the UAE, is set to issue its first US dollar-denominated sukuk, marking a significant step into the realm of Islamic finance. This forthcoming Sharia-compliant financial instrument is designed to broaden the company’s funding avenues and offer fixed-income investment opportunities aligned with Binghatti’s expansion initiatives.

Following a successful non-deal roadshow that attracted fixed-income investors in Hong Kong and London, Binghatti Holding received a favorable B+ credit rating with a positive outlook from Fitch Ratings. This assessment highlights the company’s robust fiscal health and future growth potential.

The proposed sukuk is expected to be of benchmark size with a tenure of three years. A consortium comprising both UAE and global banking giants, including Emirates NBD, Dubai Islamic Bank, Abu Dhabi Islamic Bank, HSBC, Mashreq, Sharjah Islamic Bank, and RAKBANK, is at the helm as joint lead managers and book-runners for this pivotal deal.

Binghatti Holding’s announcement comes at a time when the company is aggressively expanding its diverse portfolio, valued at over AED23.6 billion. This includes a mix of ultra-luxury projects in collaboration with prestigious brands such as Bugatti, Mercedes-Benz, and Jacob & Co, amounting to AED16 billion, alongside mainstream and high-end properties worth AED7.6 billion.

Muhammad BinGhatti, CEO of Binghatti Holding, conveyed his enthusiasm about the sukuk issuance, highlighting its role in propelling strategic investments that resonate with the company’s commitment to its stakeholders. This move signifies Binghatti’s entry into a new growth phase, bolstered by international fixed-income market capital.