Dubai – Mubasher: UAE-based real estate developer Sobha Realty has debuted a listing of $300 million Sukuk on Nasdaq Dubai on 19 July 2023.

The Sukuk holds a five-year tenor and achieves significant milestones, including the first-of-kind call feature in the GCC sub-investment grade Sukuk market, according to a bourse disclosure.

The Islamic issuance listing provides investors with an 8.75% annual profit rate that is payable semi-annually.

Dubai endorses its position as a leading hub for regional and international debt listings, which have reached a total value of $117 billion.

Co-Chairman of Sobha Realty, Ravi PNC Menon, said: “The successful listing of our $300 million Sukuk on Nasdaq Dubai exhibits strong investor confidence in Sobha Realty's growth strategy and strong financial position.”

Menon added: “We were successful in attracting a diverse pool of investors through our Sukuk issuance, both domestically and internationally, which is a testament to our continued success and long-term vision. We hope to leverage this capital to shape our expansion strategies, contribute to the long-term development of the real estate sector, and create sustained value for our stakeholders.”

Sobha has become the first corporate issuer from the region in a senior unsecured benchmark-sized format in 2023, and accordingly, the entity is paving the way for regional debut issuers.

Meanwhile, Hamed Ali, CEO of Nasdaq Dubai and Dubai Financial Market (DFM), said: “This significant achievement [the Sukuk listing] not only underscores the robustness and attractiveness of the Dubai capital market but also highlights the increasing demand for Islamic finance instruments in the region.”

DFM’s official added: “Nasdaq Dubai remains dedicated to fostering innovation and advancing the growth of the UAE financial market, and we are proud to offer a diverse range of investment products. We extend our wholehearted support to Sobha Realty and eagerly anticipate their prosperous journey in the region.”