High demand seen for Islamic bond being offered by Dubai government's main investment arm
Order books for a 10-year US dollar sukuk offer by Investment Corp of Dubai (ICD), the Dubai government's main investment arm, exceed $1.5 billion, including joint lead managers' interest, bankers said on Wednesday.
Earlier, ICD set initial price thoughts for the issue in the area of 290 basis points over mid-swaps. The ijara sukuk, which has a commodity murabaha component, will be benchmark-sized, which is understood to mean at least $500 million.
The issue is expected to be today's business. Bookrunners are Citi, Dubai Islamic Bank, Emirates NBD Capital, HSBC, J.P. Morgan, National Bank of Abu Dhabi and Standard Chartered.