Nasdaq Dubai has proudly announced the listing of a $500 million Sukuk by Sharjah Islamic Bank (SIB), marking a significant milestone in the bank’s financial journey. This latest Sukuk issuance, part of SIB’s $3 billion Trust Certificate Issuance Program initiated in 2013, is the sixth Sukuk under this program. The listing underscores SIB’s commitment to expanding its presence in the international capital markets, attracting a diverse range of global investors, and strengthening the UAE’s position as a leading hub for Islamic finance.
Strong Demand and Oversubscription
The Sukuk, set to mature in July 2029, garnered substantial interest from both global and regional investors, leading to an impressive oversubscription rate. Orders for the Sukuk reached $1.5 billion, tripling the initial offer and highlighting the strong confidence investors have in Sharjah Islamic Bank and the UAE’s thriving capital market.
UAE’s Dynamic Capital Market
The robust demand for Sharjah Islamic Bank’s Sukuk underscores the global appeal of the UAE’s dynamic capital market. With this new issuance, SIB’s total Sukuk listings on Nasdaq Dubai have reached $1.5 billion. Furthermore, the total value of Nasdaq Dubai’s Sukuk listings now stands at $93.89 billion, reinforcing its status as a premier global market for Sukuk issuances. Additionally, the total value of listed bonds and Sukuk on Nasdaq Dubai has climbed to $134.1 billion.
Celebrating the Listing
To commemorate the listing, Ahmed Saad Ibrahim, Deputy CEO of Sharjah Islamic Bank, rang the bell at Nasdaq Dubai’s market-opening ceremony, joined by Hamed Ali, CEO of Nasdaq Dubai and Dubai Financial Market (DFM). Ibrahim emphasized the bank’s commitment to innovation and excellence in financial services, stating, “Our vision is to continue innovating and providing excellent financial services that cater to the needs of our diverse clientele. We have been consistent and successful in our foray into the international capital markets, an indication that the bank remains strong under prudent management.”
A Legacy of Sukuk Issuance
Sharjah Islamic Bank has a long history of Sukuk issuance, being one of the earliest issuers in the market with its first Sukuk launched in 2006. This latest listing marks the bank’s ninth public Sukuk issuance and the first since 2020. The bank also has a $500 million Sukuk maturing in June 2025, and an additional $500 million Tier 1 Capital Sukuk with a call date in July 2025.
Nasdaq Dubai’s Role in Islamic Capital Markets
Nasdaq Dubai continues to play a crucial role in supporting the growth and diversification of Islamic capital markets. By facilitating these listings, it offers issuers unparalleled visibility and access to a diverse investor base. Hamed Ali stated, “By facilitating these listings, Nasdaq Dubai continues to support the growth and diversification of the Islamic capital markets, offering issuers unparalleled visibility and access to a diverse investor base.”
Sharjah Islamic Bank’s successful $500 million Sukuk listing underscores the bank’s robust financial health and strategic vision, while also highlighting the increasing global investor interest in the UAE’s Islamic financial instruments. This development exemplifies the strength and appeal of the Islamic capital markets in the region, solidifying Nasdaq Dubai’s role as a leading hub for Sukuk issuances. The bank’s achievement reflects its commitment to growth and innovation, contributing to the overall dynamism of the UAE’s financial sector and enhancing investor confidence in Islamic finance.
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