Islamic Treasury Sukuk Auction for June 2025 Attracts Bids Worth AED 6.21 Billion - Middle East Business News and Information
Yield to Maturity YTM of 3.88% for the May 2027 tranche and 3.83% for the August 2028, with a tight spread of 2 basis points, above comparable US Treasuries at the time of issuance.
Abu Dhabi, UAE – June 2025: The Ministry of Finance (MoF), in its capacity as the issuer and in collaboration with the Central Bank of the UAE (CBUAE) as the issuing and payment agent, announced the successful completion of the June 2025 auction of UAE Dirham-denominated Islamic Treasury Sukuk (T-Sukuk) amounting to AED 1.1 billion. This issuance forms part of the T-Sukuk issuance program for the year 2025, as published on the MoF's official website.
The auction attracted robust demand from eight primary dealers across both tranches maturing in May 2027 and August 2028. The total bids received reached AED 6.21billion, reflecting an oversubscription rate of 5.6 times, underscoring the strong confidence of investors in the UAE's creditworthiness and Islamic finance framework.
The auction results highlighted competitive, market-driven pricing with a Yield to Maturity (YTM) of 3.88% for the May 2027 tranche and 3.83% for the August 2028 tranche. These yields represent a tight spread of 2 basis points, above comparable US Treasuries at the time of issuance.
The Islamic T-Sukuk program plays a vital role in supporting the development of the UAE's dirham-denominated yield curve, offering secure investment instruments for a wide range of investors. Furthermore, it reinforces the local debt capital market, contributes to the development of the broader investment landscape, and supports the UAE's long-term economic sustainability and growth objectives.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
bnok24
5 hours ago
- bnok24
Binghatti Holding's USD 500 Million Benchmark Sukuk Begins Trading on the London Stock Exchange
Binghatti Holding Ltd ('Binghatti Holding'), one of the UAE's fastest growing real estate developers, celebrated the debut of its USD 500 million 5-year Senior Unsecured Sukuk on the London Stock Exchange with a ceremonial bell-ringing event, marking a key milestone in the company's international growth journey The sukuk, issued under Binghatti's USD 1.5 billion Trust Certificate Issuance Programme, was oversubscribed five times, attracting over USD 2.5 billion in orders from a diverse pool of regional and global investors. The issuance was priced with a profit rate of 8.125%, reflecting investor confidence in Binghatti's robust financial position. The company is rated BB- by Fitch and Ba3 by Moody's, both with stable outlooks Founder Dr Hussain BinGhatti, Chairman Muhammad BinGhatti and Chief Executive Officer Katralnada BinGhatti, accompanied by other senior executives and lead arrangers, rang the opening bell at the London Stock Exchange to celebrate the listing. The Sukuk will also be listed on Nasdaq Dubai Muhammad BinGhatti, Chairman of Binghatti Holding, commented: 'The listing of our sukuk on the London Stock Exchange is a clear signal of Binghatti's commitment to engaging proactively with global investors and operating at the highest standards of transparency and governance. The landmark sukuk issuance enjoyed strong international demand, allowing us to close the books ahead of schedule and reinforcing market confidence in our credit profile, operational resilience, and growth strategy. As we scale our business and diversify our development portfolio, access to deep, liquid, and global capital markets is central to our financial strategy. Today's listing marks another important step in broadening our investor base and strengthening our global footprint Katralnada BinGhatti, Chief Executive Officer of Binghatti Holding, commented 'Binghatti's sukuk programme reflects our commitment to diversifying the company's funding base, extending our maturity profile, and efficiently deploying capital to capture emerging opportunities. The five-times oversubscription and strong demand from institutional investors across Europe, Asia, and the Middle East signal a clear endorsement of our vertically integrated business model. With close to 50% of allocations going to non-GCC investors, we are pleased to see growing global recognition of Binghatti's unique positioning in Dubai's real estate sector. As we grow our portfolio and redefine luxury living in Dubai, we will continue to maintain prudent leverage and strong corporate governance The successful issuance and the strong demand come on the back of Binghatti Holding's strong H1 2025 results. During the first half, the company's net profit more than tripled to AED 1.82 billion, driven by resilient demand for Dubai real estate. The Group's total sales reached AED 8.8 billion, with revenue climbing 189% YoY to AED 6.3 billion The Group launched seven new projects and delivered five developments in H1 alone, handing over 15 projects in the last 18 months. Its AED 12.5 billion revenue backlog and over AED 70 billion development portfolio position it as one of Dubai's leading developers. Binghatti currently has approximately 20,000 units under development across 30 projects in prime Dubai locations including Downtown, Business Bay, Jumeirah Village Circle, and Meydan, as well as its flagship branded residences in collaboration with luxury partners Bugatti, Mercedes-Benz, and Jacob & Co The company's development pipeline was further reinforced by the recent acquisition of approximately 9 million sq. ft. megaplot in Nad Al Sheba 1, which will host Binghatti's first master-planned community, with a projected development value of over AED 25 billion Google News تابعونا على تابعونا على تطبيق نبض
Daily News Egypt
16 hours ago
- Daily News Egypt
Tax facilities offer ‘golden opportunity' to settle disputes without extra costs: ETA chief
Rasha Abdel Aal, Head of the Egyptian Tax Authority (ETA), affirmed that the tax facilities introduced under Law No. 5 of 2025 present a golden opportunity for taxpayers to resolve outstanding tax disputes, especially for those maintaining regular books and accounts. She noted that one of the most significant incentives is that taxpayers who have submitted a settlement request supported by regular accounts, and pay the full amount due within no more than three months from the request date, will be granted a full exemption from late payment fines and any additional taxes related to that dispute. Abdel Aal stressed that these measures reflect the Ministry of Finance and the ETA's commitment to supporting the tax community and easing the burden on compliant taxpayers. Those meeting the criteria benefit from special concessions in dispute settlement, provided payment is made within the prescribed deadline. 'We urge all taxpayers who have submitted settlement requests and keep regular accounts to expedite payment of their dues before the end of the three-month period from the submission date. This will ensure their tax status is resolved smoothly and they receive the full exemption from late payment fines and additional taxes,' she said.
Mid East Info
18 hours ago
- Mid East Info
Amlak Finance announces financial results for H1 2025 - Middle East Business News and Information
Dubai, United Arab Emirates:August 2025: Amlak Finance PJSC today announced its H1 2025 financial results for the period that ended 30 June 2025. The company continued to focus on prudently managing its UAE operations and balance sheet. Amlak reported a net profit after income tax of AED 18.53 million for H1 2025 compared to net profit after income tax of AED 7 million for H1 2024. Total revenue for H1 2025 increased by 61% year-on-year to AED 200 million compared to AED 124 million in H1 2024. Revenues from the share of profit from joint ventures and net income from development properties increased to AED 54 million compared to a net income of AED 5 million in H1 2024. Amlak's operating costs decreased by 3% to AED 40 million in H1 2025, compared to AED 41 million in the same period last year. Amlak completed the sale of Ras Al Khor land plots for a total consideration of AED 2.9 billion during the period, with transfer of ownership and receipt of full proceeds in July 2025. Further, Amlak successfully executed a partial sale of a 29% stake in its investment in an associate in KSA during the period. Subsequent to the period ended 30 June 2025, Amlak completed the sale of its remaining 71% stake on 31 July 2025, accordingly, fully divested its investment in the associate. The company remained committed to meeting its financial obligations, repaying AED 35 million to financiers during the second quarter. Subsequent to the period ended 30 June 2025, Amlak fully settled its remaining financiers by paying a total of AED 906 million, including profit in July 2025. Amlak Finance PJSC: Since its establishment in November 2000 as the region's pioneer financial services provider, Amlak Finance has provided its customers with innovative, Sharia-compliant property financing products and solutions designed to meet the rapidly evolving market demands.
