Emaar said to pick banks including Standard Chartered for sukuk

Emaar Properties PJSC, the developer of the world’s tallest skyscraper in Dubai, has mandated 10 banks including Standard Chartered Plc for a benchmark-sized sale of Islamic bonds, according to two people with knowledge of the transaction. Emirates NBD PJSC, National Bank of Abu Dhabi PJSC, First Gulf Bank PJSC, Dubai Islamic Bank PJSC, Union National Bank PJSC, Mashreqbank PSC, Abu Dhabi Islamic Bank PJSC, Noor Bank PJSC and Bahrain’s Bank ABC are also managing the sale of dollar-denominated securities, said the people, asking not to be identified because the information is private. A benchmark-sized issue usually raises at least $500 million. Emaar last sold bonds in June 2014, when its Emaar Malls Group LLC unit raised $750 million from a debut sale of Islamic notes, known as sukuk. The developer of the Burj Khalifa in Dubai carries the lowest investment grade rating from both Moody’s Investor Service and S&P Global Ratings, according to data compiled by Bloomberg. Bond and sukuk sales in the six-nation Gulf Cooperation Council, which includes the two biggest Arab economies of Saudi Arabia and the United Arab Emirates, have doubled this year to $38 billion as governments in Qatar, Abu Dhabi and Oman sold securities to plug budget deficits after revenues wilted with oil prices. Sharjah Islamic Bank announced plans to sell bonds last week while Dubai’s Emirates Islamic Bank PJSC kicked off sales after the summer on Wednesday by offering a fresh $250 million portion of its 2021 sukuk. Bloomberg

More from Business News