Latest news with #PNCInvestments
Trade Arabia
14-05-2025
- Business
- Trade Arabia
Sobha Realty $500m sukuk oversubscribed by 3 times
Sobha Realty, a leading global luxury real estate developer, on Tuesday announced the successful issuance of $500 million sukuk under its recently established $1.5 billion Sukuk Issuance Program. This latest sukuk will be listed on the London Stock Exchange (LSE) and NASDAQ Dubai. For this $500 million 2029 maturity sukuk issuance, the order book was oversubscribed three times to reach $1.54 billion. Initial Price Thoughts (IPTs) were set at 8.375%. However, strong interest from regional and international investors led to a notable price tightening of 37.5 basis points, bringing the effective yield to 8% p.a. Of the total issuance, 61% has been allocated to local and 39% to international investors, respectively, reaffirming investors' confidence in Sobha Realty's growth and Dubai's real estate sector outlook, said Sobha Realty. Ravi Menon, Chairman of Sobha Group, said: 'The successful completion of Sobha Realty's USD500 million sukuk issuance underscores the continued confidence of the investor community in our financial stability and strategic direction. Our strategy, underpinned by our Backward Integration model, continues to yield strong financial results, including a substantially healthy revenue backlog, increased topline, and EBITDA generation. This reinforces our long-term commitment to growth and value creation.' Maturing in 2029, the new sukuk issuance follows the recent upgrade of PNC Investments (PNCI), the parent company of Sobha Realty, by Moody's rating. In April 2025, Moody's upgraded PNCI's rating to Ba2/Stable from Ba3/Stable. In line with the improved existing rating, the newly issued sukuk are expected to achieve Ba2/stable rating by Moody's and BB/stable rating by S&P. Sobha Realty appointed Abu Dhabi Commercial Bank, Abu Dhabi Islamic Bank, Arqaam Capital, Dubai Islamic Bank, Emirates NBD Capital, J.P. Morgan, Mashreq, RAKBANK, Sharjah Islamic Bank, Standard Chartered Bank, and Warba Bank as Joint Lead Managers and Joint Bookrunners. Having supported Sobha Realty's previous issuances, these institutions bring the proven expertise necessary to ensure continued success.
Gulf Business
14-05-2025
- Business
- Gulf Business
Sobha raises $500m in oversubscribed sukuk offering; launches flagship app
Image: Supplied The company confirmed the successful issuance of the sukuk under its newly established $1.5bn Sukuk Issuance Program. The sukuk, which matures in 2029, was oversubscribed three times, with an orderbook reaching $1.54bn. Initial price thoughts were set at 8.375 per cent, but strong investor demand allowed the profit rate to tighten by 37.5 basis points to 8 per cent annually. The issuance saw strong interest from both regional (61 per cent) and international (39 per cent) investors, reflecting robust confidence in the company's fundamentals and Dubai's real estate market. The sukuk will be listed on both the London Stock Exchange (LSE) and NASDAQ Dubai. 'This underscores the continued confidence of the investor community in our financial stability and strategic direction,' said Ravi Menon, chairman of Sobha Group. He highlighted the strength of the company's 'backward Integration' model, which supports its growing revenue backlog, top-line performance, and EBITDA generation. The issuance follows Moody's recent upgrade of PNC Investments (Sobha Realty's parent company) to Ba2/Stable, and is expected to receive a Ba2/stable rating by Moody's and BB/stable by S&P. A consortium of institutions including ADCB, ADIB, Arqaam Capital, DIB, Emirates NBD Capital, J.P. Morgan, Mashreq, RAKBANK, Sharjah Islamic Bank, Standard Chartered, and Warba Bank acted as joint lead managers and bookrunners. Clifford Chance, Dentons, and Grant Thornton supported the legal and financial aspects of the issuance. Sobha launches app to advance customer experience In a parallel move to enhance customer engagement, Sobha Realty unveiled a new brand film for its ONE Sobha App, developed in collaboration with Tejal Patni and ANC Advertising Agency. The film emphasises Sobha's 'Art of the Detail' approach, showcasing the app as a digital companion for residents and prospective buyers, combining intuitive technology with luxury real estate services. 'The ONE Sobha App is a natural evolution of our philosophy, offering a seamless tool that enriches lifestyle at every stage of the journey,' said Ashish Parakh, group chief sales and marketing officer. The app allows residents to manage property-related tasks — from booking amenities to guest access — and provides potential buyers with real-time inventory updates, digital payments, and support in over 100 languages. In other news, Sobha Realty launched a major
Zawya
13-05-2025
- Business
- Zawya
UAE developer Sobha Realty prices $500mln 3-year sukuk
The $500 million benchmark three-year long sukuk offering by UAE property developer Sobha Realty will have a of 8% at +401.6 basis points over US treasuries, with a 7.9955% semi-annual coupon rate. The initial price thoughts were in the area of 8.375%. The final book was in excess of $1.45 billion, excluding joint lead manager charges. The sukuk will be priced later today, with the offering to come under Sobha Sukuk l Holding Limited's $1.5 billion Trust Certificate Issuance Programme. The company is the third largest real estate developer in Dubai, rated Ba2 by Moody's and BB by S&P, both with a stable outlook. The proceeds will be used to settle existing financings and for parent company PNC Investments' general corporate purposes. The sukuk will be listed on London Stock Exchange's International Securities Market, Nasdaq Dubai and DFSA. (Writing by Bindu Rai, editing by Seban Scaria)
Zawya
12-05-2025
- Business
- Zawya
IPTs out for UAE developer Sobha Realty's USD benchmark sukuk
UAE property developer Sobha Realty has released the initial price thoughts (IPTs) for its USD benchmark three-year Reg S sukuk offering, which are in the area of 8.375%, with a fixed profit rate, payable semi-annually in arrear. The sukuk will be priced later today, with the offering to come under Sobha Sukuk l Holding Limited's $1.5 billion Trust Certificate Issuance Programme. The company is the third largest real estate developer in Dubai, rated Ba2 by Moody's and BB by S&P, both with a stable outlook. Banks mandated include Abu Dhabi Commercial Bank, Abu Dhabi Islamic Bank, Arqaam Capital, Dubai Islamic Bank, Emirates NBD Capital, JP Morgan, Mashreq, RAKBANK, Sharjah Islamic Bank, Standard Chartered Bank and Warba Bank, which have been appointed joint lead managers and bookrunners. The proceeds will be used to settle existing financings and for parent company PNC Investments' general corporate purposes. The sukuk will be listed on London Stock Exchange's International Securities Market, Nasdaq Dubai and DFSA. (Writing by Bindu Rai, editing by Seban Scaria)
