EIB closes first FCY sukuk sale of the year: Emirates Islamic Bank (EIB) raised USD 750 mn through a Regulation s-compliant sukuk, which was 2.1x oversubscribed, it said in a press release. The issuance falls under the lender’s USD 4 bn certificate issuance program, and marks its first on the international debt market this year. The sukuk will be listed on Nasdaq Dubai and Euronext.

The details: EIB priced the five-year senior unsecured notes at an annual coupon of 5.059%, a 95 bps premium over 5-year US Treasuries — a tightening of 30 basis points from initial price thoughts on the back of strong investor demand.

Who bought in: The sukuk drew interest from over 100 accounts, with 80% allocated to regional investors and the remaining 20% to international buyers. The order book included a notable number of first-time participants, according to the release.

Not its first USD-dominated sukuk: EIB hit the global borrowing market in May of last year, with a five-year USD sustainability-linked sukuk, raising USD 750 mn as part of its USD 2.5 bn certificate program.

ADVISORS- Our friends at Mashreq and HSBC were joint lead managers and joint bookrunners on the transaction, along with Dubai Islamic Bank, Emirates NBD Capital, Sharjah Islamic Bank, and Standard Chartered.

Tags: