Dubai Islamic Bank Lists USD 500 Million AT1 Sukuk on Nasdaq Dubai

Photo : Dubai government media office

Nasdaq Dubai has announced the successful listing of a USD 500 million Additional Tier 1 (AT1) Sukuk issued by Dubai Islamic Bank (DIB), marking a significant development in the Islamic finance sector. The Sukuk was issued at a profit rate of 5.25 percent per annum and attracted strong investor interest, leading to substantial oversubscription.

This strategic issuance underscores DIB's leadership within the global Islamic finance industry and provides essential capital to support its ongoing growth strategy. With this listing, Nasdaq Dubai continues to strengthen its position as a prominent global hub for Sukuk. The total outstanding Sukuk on the exchange has now reached USD 93 billion across 102 listings, contributing to a combined total of USD 133 billion in capital market listings. Nasdaq Dubai remains dedicated to promoting Islamic finance and fixed-income products, offering a robust platform for both issuers and investors worldwide.

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The Sukuk issuance drew a diverse range of investors, including financial institutions, private banks, and fund managers from Europe, Asia, and the Middle East. This broad interest highlights the increasing appeal of Islamic financial instruments and reflects strong investor confidence in the UAE’s stable financial market. Notably, the Sukuk is dual-listed on both Nasdaq Dubai and Euronext Dublin.

To commemorate the listing, Saeed Wajdi, Chief of Treasury at Dubai Islamic Bank, rang the bell at the market-opening ceremony alongside Hamed Ali, CEO of Nasdaq Dubai and Dubai Financial Market (DFM). 

Dr. Adnan Chilwan, Group Chief Executive Officer of DIB, expressed his satisfaction with the successful reception of the Sukuk, stating, “This listing goes beyond reaffirming market confidence in Dubai Islamic Bank. It serves as a strong endorsement of the UAE's economic resilience and future ambitions. In alignment with our leadership’s transformative vision, we are implementing initiatives that bolster the national economy and position us as a global leader in Islamic finance. This listing enhances our visibility, connects us with a wider range of investors, and leverages Nasdaq Dubai’s well-regulated platform to expand our global footprint and improve our investor relations.”

Hamed Ali, CEO of Nasdaq Dubai and DFM, welcomed the new Sukuk listing, noting, “Dubai Islamic Bank’s latest Sukuk listing on Nasdaq Dubai highlights the increasing demand for Islamic finance and demonstrates the strength of the UAE’s capital markets. We are committed to providing a dynamic platform that supports both issuers and investors, fostering growth and innovation in Islamic finance around the world.”

This transaction achieved a reset spread of 133.4 basis points over US Treasuries, representing the lowest for an AT1 instrument globally since the 2009 financial crisis. Rated A3 (Stable) by Moody’s and A (Stable) by Fitch, DIB currently has an outstanding value of over USD 9 billion through 11 Sukuk listings on Nasdaq Dubai.