Islamic finance deal of the year – United Arab Emirates: DP World’s $1.5 billion green sukuk

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Islamic finance deal of the year – United Arab Emirates: DP World’s $1.5 billion green sukuk



Name of borrower: DP World

Amount: $1.5 billion

Tenor: 10 years

Underwriters: Citi, Emirates NBD Capital, Standard Chartered, Deutsche Bank, Dubai Islamic Bank, First Abu Dhabi Bank, JPMorgan

Date: September 6, 2023

 

DP World has raised $1.5 billion through a 10-year green sukuk to support sustainability projects across its global operations. This is DP World’s inaugural venture into the green sukuk market and its third return to the global capital markets in three years.

It is the second-largest corporate sukuk globally in the last two years and largest UAE corporate sukuk in the last five years. Despite market volatility, the sukuk attracted interest: it was 2.3x oversubscribed.

The initial price talk was tightened by 30 basis points, resulting in a final spread of 119.8bp over Treasuries.

Standard Chartered, Citi, Deutsche Bank, Dubai Islamic Bank, Emirates NBD Capital, First Abu Dhabi Bank and JPMorgan acted as joint lead managers and joint bookrunners.



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