FAB concludes $650 million sukuk issue

FAB concludes $650 million sukuk issue
The bonds attracted a total demand of over $1.3 billion
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Abu Dhabi - Mubasher: First Abu Dhabi Bank (FAB) has concluded the issuance of a $650 million 5-year sukuk under its $2.5 billion Trust Certificate Issuance Programme, according to a filing to the Abu Dhabi Securities Exchange (ADX).

The new issuance was oversubscribed by over 2 times, the ADX-listed lender revealed.

“The transaction took place on 26 February, registering a final price at 95 basis points above mid-swaps for the bonds,” the UAE's largest bank stated.

The bonds attracted a total demand of over $1.3 billion, of which Islamic investors make up 43% while conventional investors account for the remaining 57%, FAB said. 

“FAB’s strong credit profile and ratings, as well as the extremely positive response we have received, is a clear testament to the confidence and trust that investors have in FAB,” the bank's deputy Group CEO André Sayegh commented.  

The transaction was led by Citibank, FAB, KFH Capital, NCB Capital, and Standard Chartered, the UAE-based bank concluded.