Nasdaq Dubai Welcomes USD 400 Million Sukuk Listing by Arada Developments LLC

Dubai, 1st July 2024 – In a remarkable development for the Islamic finance sector, Nasdaq Dubai has announced the listing of a USD 400 million Sukuk by Arada Developments LLC, a leading UAE-based master developer. This marks Arada's second listing on Nasdaq Dubai and their first under a newly developed USD 1 billion Sukuk programme.

The five-year fixed-rate Sukuk saw robust demand, being oversubscribed by 3.5 times. This strong interest came from a diverse group of investors worldwide, including Europe, the Middle East, and Asia. Significant participation was noted from institutional investors, fund managers, high-net-worth individuals (HNWIs), and banks.

This listing further cements Dubai's position as a premier global hub for Sukuk listings, bringing the total value of Sukuk issuances to USD 93 billion. Local issuers contribute 44% of this value, while foreign issuers make up the remaining 56%. Nasdaq Dubai boasts a total value of USD 129 billion in listed bonds and Sukuk.

To mark this successful listing, Ahmed Alkhoshaibi, Group CEO of Arada, rang the bell at the market-opening ceremony at Nasdaq Dubai, alongside Hamed Ali, CEO of Nasdaq Dubai and DFM. Alkhoshaibi expressed his pleasure at returning to Nasdaq Dubai, highlighting the strong success and increased investor interest that followed the listing of their debut issuance a year ago. He also noted that Arada has delivered record results in terms of new project launches, sales, and deliveries over the past 12 months, contributing to the significant worldwide interest in their new Sukuk programme.

Hamed Ali, CEO of Nasdaq Dubai and DFM, welcomed Arada's successful listing, stating, '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. We are committed to supporting the growth of the Islamic finance market and look forward to more collaborations that will enhance our role as a global financial hub.'

Given the strong investor confidence and the strategic importance of this listing, it is advisable for investors to consider holding onto their investments in Dubai Financial Market PJSC. The company's robust infrastructure, strategic initiatives, and growing stature in the global Sukuk market make it a promising investment for the future.