Nasdaq Dubai welcomes the first green sukuk listing from… "Bin Ghatti" With 500 million dollars

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Dubai, November 6, 2017 – Nasdaq Dubai welcomed the first listing of a green sukuk worth US$500 million from Binghatti Holding Limited, a real estate development company.

The sukuk, which falls within Binghatti’s $1.5 billion sukuk issuance program, will mature in 2029. It is the company’s first issuance related to sustainability, environmental, social responsibility, and governance. It witnessed strong demand from a wide base of regional and international investors, as subscription exceeded the target value of the offering by 4.3 times, with subscription requests exceeding $2.1 billion recorded, and the offering was priced at a return of 7.75%, after reducing it from the initial guidance of 8.125%, in a clear indication of the strength of investor interest.

The proceeds from the offering will be allocated to finance a group of eligible green projects that are compatible with Binghatti’s sustainability framework. The issuance is in line with Binghatti’s commitment to support the goals of the UAE’s strategic initiative to achieve climate neutrality by 2050 and the Dubai Sustainable Finance Strategy as a fundamental pillar of economic growth.

To celebrate the successful listing, Ahmed Bin Ghatti, Vice Chairman of Binghatti Holding Limited, and Qatar Al Nada Binghatti, CEO of the company, rang the opening bell of the trading session at Nasdaq Dubai, along with Hamed Ali, CEO of the Dubai Financial Market and Nasdaq Dubai, and a group of senior executives from both sides.

Qatar Al Nada Binghatti, CEO of Binghatti Holding, said: Our first green sukuk issuance represents a milestone in Binghatti’s sustainable and responsible growth process, and the wide demand and subscription exceeding the target value reflects the success of our unique and integrated business model, and the confidence of regional and international investors in our vision and performance. The success of the issuance also confirms our commitment to supporting sustainable development and developing projects that take into account environmental standards within our investment portfolio, to contribute to achieving the UAE’s goals to reach climate neutrality by 2050, and to enhance Dubai’s position as a global center for sustainable finance.

In turn, Hamed Ali, CEO of the Dubai Financial Market and Nasdaq Dubai, said: “We are pleased to welcome the first green sukuk listing from Binghatti on Nasdaq Dubai, in a step that reflects the growing demand from investors for sustainable financial instruments that are compatible with environmental, social and corporate governance standards. This issuance confirms the strength of Dubai’s capital markets as a global center for Islamic and sustainable finance. These prominent listings also reflect Nasdaq Dubai’s ability to connect the most prominent issuers in the UAE with international investors, including… It contributes to diversifying financing opportunities and supporting the country’s aspirations in the field of sustainable financing through a developed market characterized by transparency and reliability.

Through this listing, the total value of Binghatti Group’s listed Sukuk on Nasdaq Dubai rises to US$1.5 billion, reflecting the company’s continued confidence in the stock exchange.

Thus, the total value of debt instrument listings on Nasdaq Dubai exceeds $141 billion, consolidating its position as one of the most prominent global exchanges specializing in sukuk and sustainable finance.