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Mon 16 May 2016 06:49 PM

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DP World launches tender offer for $1.5bn 2017 sukuk

Dubai port operator says it could buy back around half of sukuk offering which is due to mature next year

DP World launches tender offer for $1.5bn 2017 sukuk

DP World could buy back around half of its $1.5 billion sukuk offering which is due to mature in 2017 as the global ports operator seeks to reduce the cost of its debt, it said in a statement on Monday.

Holders of the Islamic bond have until 4pm London time on May 23 to decide whether to accept DP World's offer to buy the sukuk at $10,555 when the face value is $10,000.

The firm will purchase sukuk worth up to $750 million, of which around there was around $1.42 billion of the issue currently outstanding.

DP World has hired Deutsche Bank, HSBC, Citigroup and Dubai Islamic Bank to act as dealer managers for the tender offer, the statement added.

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