Dubai Islamic Bank Closes USD 1 Billion Sukuk with Over USD 4.5 Billion Orders

Marking the first public benchmark Sukuk from a regional financial institution following the COVID-19 driven market disruption, Dubai Islamic Bank (DIB) has closed a USD 1 billion five-year Sukuk, with an annual profit rate of 2.95%, the equivalent to 245 basis points (bps) over the equivalent tenor Mid Swap Rate.

According to local media, the Sukuk attracted over 170 high-quality investors, with the order book rising to over USD 4.5 billion and almost 50% coming from outside the Middle East and North Africa region.

Dr Adnan Chilwan, the Group Chief Executive Officer of DIB, stated that the issuance being subscribed by over 4.5 times is an indication that DIB continues to remain an a...