Arada Developments Lists $400 Million Sukuk on Nasdaq Dubai

Arada Developments Lists $400 Million Sukuk on Nasdaq Dubai

By Emirates News Agency, 02 July 2024

Nasdaq Dubai has welcomed the listing of US$400 million Sukuk by Arada Developments LLC, a UAE-based master developer.

This marks Arada’s second listing on Nasdaq Dubai and its first under their newly developed $1 billion Sukuk programme.

The five-year fixed-rate Sukuk attracted strong demand from regional and international investors. The offering was oversubscribed by 3.5 times, drawing interest from a diverse group of investors worldwide, including Europe, the Middle East and Asia, with significant participation from institutional investors, fund managers, high-net-worth individuals (HNWIs), and banks.

This listing reinforces Dubai's position as a premier global hub for Sukuk listings, bringing the total value of Sukuk issuances to $93 billion.

Local issuers contribute 44% of this value, while foreign issuers make up the remaining 56%. Nasdaq Dubai boasts a total value of $129 billion in listed bonds and Sukuk.

To mark the successful listing, Ahmed Alkhoshaibi, Group CEO of Arada, rang the bell at the market-opening ceremony at Nasdaq Dubai, along with Hamed Ali, CEO of Nasdaq Dubai and DFM.

Alkhoshaibi said, “We’re pleased to be returning to Nasdaq Dubai to list our second Sukuk after the strong success and increased investor interest that followed the listing of our debut issuance a year ago. Over the past 12 months we have again delivered record results in terms of new project launches, sales and deliveries, all of which have contributed towards the significant worldwide interest in our new Sukuk programme.”

Hamed Ali added, “We welcome Arada’s successful listing on Nasdaq Dubai. The robust demand for this listing reflects the strong confidence that global investors have in the UAE's Islamic finance market and broader capital markets. This listing further solidifies Nasdaq Dubai's status as a leading market for Sukuk issuances.”

Rola AlGhoul / Muhammad Aamir

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