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DIB plans to issue US dollar AT1 Sukuk

DIB plans to issue US dollar AT1 Sukuk
AT1 bonds are the riskiest debt instruments banks can sell
DIB
DIB
0.22% 4.54 0.01

Dubai – Mubasher: Dubai Islamic Bank (DIB) plans to issue the US dollar-denominated Additional Tier 1 (AT1) Sukuk within this week, two sources told Reuters.

AT1 bonds, which are the riskiest debt instruments banks can sell, are perpetual in nature; however, issuers can call them after a specified period.

It is noteworthy to mention that in November 2020, the bank successfully closed a perpetual non-call 5.5 years Additional Tier 1 Sukuk worth $1 billion, with a profit rate of 4.625% per year.