Saudi construction giant lists $500m sukuk on Nasdaq Dubai

Dar Al-Arkan says the five-year sukuk was more than two times oversubscribed
By Staff writer
Mon 02 Apr 2018 02:17 PM

Yousef Bin Abdullah Al-Shelash, chairman of Saudi-based construction giant Dar Al-Arkan Real Estate Development Company, has hailed the listing of a $500 million sukuk on Nasdaq Dubai.

The five-year sukuk was more than 2 times oversubscribed and received significant interest from Middle Eastern, European and Asian investors, a statement said.

It added that it brings Dar Al-Arkan’s total sukuk value listed on Nasdaq Dubai to $1.85 billion, following three other sukuk listings by the company on the region’s international exchange in 2014 and 2017.

The listing will support its projects including the I Love Florence Tower, a co-branded residential tower project in Downtown Dubai announced in December 2017.

Al-Shelash said: “Our latest successful sukuk issuance supports our activities throughout Saudi Arabia under the National Transformation Program as part of the ‘Vision 2030’ strategy, as well as the international expansion that we began in 2017.”

Dar Al-Arkan’s assets in Saudi Arabia include a 37 million square metre land bank in Jeddah, Riyadh and Makkah.

Hamed Ali, chief executive of Nasdaq Dubai, said: “We congratulate Dar Al-Arkan’s team for concluding a successful transaction and listing and are committed to strengthening our relationship with the company and the investors in its Sukuk through our post-listing relationship. As an international platform, we are preparing to expand our support for a range of issuers in Saudi Arabia and other regional and international countries.”

Dubai’s sukuk listings have now reached a total nominal value of $58.8 billion, the highest amount of any listing venue in the world.

Subscribe to our Newsletter

Subscribe to Arabian Business' newsletter to receive the latest breaking news and business stories in Dubai,the UAE and the GCC straight to your inbox.