
Tasaheel secures landmark EGP 7bln Sukuk issuance to expand access to finance for small business owners
Cairo, Egypt: Tasaheel, Egypt's largest and fastest-growing lender for small businesses and entrepreneurs; and part of MNT-Halan, has successfully completed Egypt's largest-ever Sukuk issuance in the non-bank financial institutions (NBFIs) sector. This pioneering EGP 7 billion Sukuk marks a major milestone, standing as the largest Social Sustainable issuance in Africa for a non-governmental entity.
The Sukuk received an 'A' credit rating from the Middle East Credit Rating and Investor Services (MERIS), along with an 'Excellent' (SQS1) sustainability score from Moody's Rating Agency. This reflects Tasaheel's commitment to the Sustainable Sukuk Principles of the International Capital Market Association (ICMA). The issuance attracted strong investor demand, with a subscription coverage ratio of 1.2 times, underscoring its appeal and significance in the financial market.
The funds raised from this historic Sukuk issuance will support Tasaheel's strategic growth plan, focusing on expanding access to financial solutions for underserved businesses and individuals; which will further enable Tasaheel to enhance its positive impact on Egypt's financial ecosystem.
The Sukuk issuance has a 5-year maturity period and is structured as a Modaraba Sukuk. The issuance has been certified by the Central Shariah Committee at the FRA and the Sukuk Company Shariah Committee, ensuring full compliance with Islamic finance principles.
Mounir Nakhla, Founder & CEO of MNT-Halan, commented ' Tasaheel is tapping into new funding channels and diversifying its base to further fuel loan book growth. By securing innovative tailored financing solutions, we're extending our reach to more businesses and continuing to make an impact in Egypt and beyond.'
Islam Ayoub, Managing Director of Tasaheel, said"This Sukuk issuance is a major milestone not just for Tasaheel, but for the non-banking finance sector as a whole. By raising capital in this way, we are advancing our mission to promote financial inclusion and empower small business owners who are the backbone of the Egyptian economy. This transaction will enable Tasaheel to make a meaningful difference in the lives of many."
This Sukuk issuance is a significant step for Egypt's business finance sector, further cementing Tasaheel's role in providing sustainable financial solutions, and advancing MNT-Halan's mission of driving financial inclusion across the country.
Key regulatory supervision was provided by the Egyptian Financial Regulatory Authority (FRA). The transaction was supported by prominent financial and legal advisors, including CIB and CI Capital as financial advisors, Maatouk Bassiouny & Hennawy as legal advisors, and KPMG as transaction auditor. The Sukuk was issued by Alkan for Sukuk and underwritten by CIB, AAIB, El Baraka, and Banque du Caire, with additional participation from SAIB, ABC, FABMisr, Faisal Islamic Bank, and ADCB.
Hashtags

Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles


Arabian Post
18 minutes ago
- Arabian Post
Mashreq's $500 Million Sukuk Garners Global Attention
Mashreq Bank has secured a US$500 million Sukuk issuance through its special-purpose vehicle, Mashreq Al Islami Sukuk Company Ltd, with a secondary listing on Nasdaq Dubai. The trust certificates, set to mature in 2030, were unveiled under the bank's US$2.5 billion Trust Certificate Issuance Programme. The issuance drew overwhelming appetite in the primary market, with subscriptions reaching nearly US$2.9 billion—almost six times the issued amount—before being admitted for trading on Nasdaq Dubai. Market officials and state dignitaries marked the admission ceremony. Senior Mashreq officials including Group CEO Ahmed Abdelaal, Group Head of Corporate & Investment Banking Joel Van Dusen, and Group Head of Treasury & Global Markets Salman Hadi were present. The ceremonial bell was rung by Abdelaal, alongside Hamed Ali, CEO of Nasdaq Dubai and Dubai Financial Market, signifying a deepening partnership between the lender and the exchange. The demand for the paper was robust: pricing tightened to UST + 105 basis points, offering a fixed annual return of 5.03%. Participation included more than 90 investors across the Middle East, Europe and Asia, reflecting broad confidence in Mashreq's creditworthiness and reinforcing Dubai's rising role as a global hub for Islamic finance. ADVERTISEMENT Islamic finance is a growing pillar of Dubai's capital markets. Nasdaq Dubai is now home to over US$140 billion in listed debt, of which around US$97.2 billion comprises Sukuk across 163 issuances, bolstering the emirate's reputation in sharia-compliant instruments. This Sukuk marks Mashreq's return to international debt markets and sets a positive tone following heightened volatility triggered by US tariffs on the CEEMEA region in April 2025. According to Nasdaq Dubai CEO Hamed Ali, the success signifies 'Mashreq's growing ambitions in the Islamic finance sector' and affirms the exchange's role in connecting regional issuers with global investors. Mashreq Chairman Abdul Aziz Al Ghurair emphasised the issuance's significance: 'This Sukuk listing marks an important step in Mashreq's commitment to strengthening the global Islamic finance landscape … a clear demonstration of cross-border capital flows.' Ahmed Abdelaal added that the listing 'affirms our disciplined approach to funding, even in a complex macro environment'—a nod to the bank's focus on transparency and sustainable value. From a broader standpoint, the transaction shows Dubai's resilience amid global financial uncertainty. With the UST + 105 basis points spread reflecting investor trust, analysts note that the oversubscription by nearly six‑fold underscores continued market appetite for quality issuances. It strengthens investor confidence not just in Mashreq but across issuers in the CEEMEA region. Notably, this offering marks Nasdaq Dubai's first CEEMEA issuance since April's tariff shock—a turning point that restored market momentum. Regional issuers have since pursued multiple debt placements, signalling a revival of cross-border capital flows. The listing harmonises with Dubai's strategic goal to deepen Islamic capital markets and elevate its position as a capital-raising gateway for global investors. As Sukuk issuance gains traction amid tighter regulatory oversight and rising demand for ethical financing, Mashreq's listing not only advances its own capital diversification goals but also contributes to the maturation of Islamic fixed-income markets. With plans to issue further Islamic debt under its US$2.5 billion programme, the bank appears poised to leverage both primary and secondary market channels. Moving forward, stakeholders will watch for future issuances by Mashreq and other CEEMEA-based issuers to assess whether this marks a sustainable trend in Islamic finance, or a one-off surge. However, the combination of strong demand, disciplined pricing and enhanced market access marks a positive step for the sector.


Zawya
4 hours ago
- Zawya
Nasdaq Dubai welcomes Mashreq's $500mln debut sukuk listing
Dubai: Mashreq Bank listed a $500 million Sukuk on Nasdaq Dubai through Mashreq Al Islami Sukuk Company Limited, according to a press release. Issued under Mashreq's $2.50 billion Trust Certificate Issuance Program, the offering is being admitted as a secondary listing following strong demand in the primary market. The Trust Certificates, due in 2030, attracted significant investor interest, implying an orderbook of $2.90 billion, nearly six times oversubscribed. The final pricing was tightened to UST +105 basis points with a fixed profit rate of 5.03% annually. With this listing, the total value of Sukuk listed on Nasdaq Dubai stood at $97.20 billion, reinforcing the exchange's position as one of the world's largest centers for Islamic fixed income. The overall value of debt securities listed on Nasdaq Dubai currently exceeds $140 billion, across 163 issuances. Ahmed Abdelaal, Group CEO of Mashreq, said: 'Our debut listing on Nasdaq Dubai marks a new chapter in Mashreq's capital markets journey. This Sukuk issuance not only attracted strong investor interest, but also affirms our disciplined approach to funding, even in a complex macro environment.' Hamed Ali, CEO of Nasdaq Dubai and Dubai Financial Market (DFM), said: 'As Dubai continues to strengthen its capital markets infrastructure, we remain committed to providing an efficient and transparent platform that supports diverse financing needs and promotes sustainable growth across the financial ecosystem.' In the first quarter (Q1) of 2025, Mashreq Bank recorded 12% lower net profits after tax at AED 1.79 billion, compared to AED 2.04 billion in Q1-24.


Khaleej Times
13 hours ago
- Khaleej Times
Sharjah Islamic Bank lists $500m sukuk on Nasdaq Dubai
Sharjah Islamic Bank on Tuesday listed a $500 million Additional Tier 1 (AT1) sukuk on Nasdaq Dubai. This latest transaction brings the Bank's total outstanding on Nasdaq Dubai to $2.5 billion across five listings. With this listing, the total value of Sukuk listed on Nasdaq Dubai has reached $95.7 billion, underlining its status as one of the world's largest venues for Islamic fixed-income securities. Nasdaq Dubai's broader debt capital market has now surpassed $136 billion across 160 listings, reflecting growing international confidence in Dubai as a gateway for capital flows between the Middle East and the world. The perpetual, non-call six-year AT1 Capital Certificates were issued by SIB Tier 1 Sukuk IIND Ltd and are compliant with Basel III regulations. The issuance attracted strong interest from both regional and international investors, providing Sharjah Islamic Bank with additional capital to fuel its long-term growth plans. To mark the occasion, Ahmed Saad, DCEO of Sharjah Islamic Bank rang the market opening bell at Nasdaq Dubai in the presence of Hamed Ali, CEO of Nasdaq Dubai and Dubai Financial Market (DFM). Saad said: 'The successful listing of our $500 million perpetual Additional Tier 1 Sukuk on Nasdaq Dubai marks a significant milestone in Sharjah Islamic Bank's strategic growth journey. This issuance reflects our strong fundamentals, robust investor confidence, and commitment to maintaining a solid capital base in line with Basel III requirements. We are proud to deepen our relationship with Nasdaq Dubai, a platform that continues to champion innovation and global best practices in Islamic finance. As we expand our presence in international markets, we remain committed to contributing to the sustainable development of the UAE's financial sector and the broader Islamic capital market ecosystem.' Ali said: 'This listing is part of a broader shift as regional institutions like Sharjah Islamic Bank lead the deepening of local debt markets. As demand for diversified, Shariah-compliant instruments continues to grow, Nasdaq Dubai is proud to serve as a trusted platform for innovation in Islamic finance. The momentum we are seeing in Sukuk issuances signals a maturing financial ecosystem where local ambition meets global capital flows. SIB's continued engagement underscores the strategic role financial institutions play in building resilient, forward-looking capital markets across the UAE and beyond.'