The state-owned port operator plans to issue $1 billion Sukuk with a 10-year maturity and offering a profit rate equivalent to 195 basis points over mid-swaps.
Monday 15, July 2019 BY KUDAKWASHE MUZORIWA
Dubai-based DP World is set to raise $1.3 billion through conventional bonds and Sukuk.
The company which had $10.5 billion in existing debt at the end of last year has also reopened an existing conventional bond, due in 2048.
DP World said that its Sukuk got orders of over $4.6 billion while demand for the bond tap topped $1.6 billion. The proceeds of the Sukuk will be used for general corporate purposes.
The conventional bond and Sukuk issuances follow the company’s announced last week that it plans to acquire Topaz Energy and Marinefor around $1 billion.
Barclays and Deutsche Bank together with Citi, Dubai Islamic Bank as well as Emirates NBD Capital, First Abu Dhabi Bank and HSBC have been appointed as arrangers of the Sukuk issue, reported Reuters.