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Halal Business Islamic Banking

SHUAA issues, places SAR 506 million Sukuk for Saudi’s JODC

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SHUAA acted as the sole arranger for the Sukuk

Wednesday 09, January 2019 BY KUDAKWASHE MUZORIWA

SHUAA Capital has announced the issuance and private placement of a SAR 506 million ($135 million) dollar-denominated five-year Sukuk for Jabal Omar Development Company (JODC), as the real estate firm seeks to strategically diversify its capital base.

In a statement, SHUAA stated that the Sukuk was originally issued in Q2 2018.

Fawad Tariq-Khan, the CEO of SHUAA, said, “Sukuks represent an ideal financing mechanism for the long-term funding requirements of real estate, as reflected by the dominance of the sector in issuing Sukuks over the past 18 months in the region.

There is a growing trend for Sukuk issuances, which raised $97.79 billion globally in 2017, up 45 per cent year on year, and particularly in Saudi Arabia, which raised more than $26 billion in the same year.

TAGS : SHUAA Capital, Jabal Omar Development Company, Sukuk, private placement

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