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Binghatti’s sukuk tap records an overwhelming 420% oversubscription

Overwhelming demand resulted in a price reduction of approximately 20 basis points

Dubai’s leading real estate developer Binghatti has announced an immensely successful sukuk. The sukuk tap was linked to the developer’s debut February 2027 USD 300 million sukuk issuance which was listed earlier this year on London Stock Exchange (ISM) and Nasdaq Dubai, and was over 200 per cent oversubscribed. The recent tap brings Binghatti’s overall sukuk deal size to $500 million. The recent tap witnessed record-breaking demand from both regional and international investors, reaching a remarkable level of approximately 4.2x oversubscription.

The continuous high demand and oversubscription levels of Binghatti’s sukuk underscores the developer’s strong market position and robust global investor confidence in the Binghatti brand.

The overwhelming demand for Binghatti’s sukuk resulted in a price reduction of approximately 20 basis points which was linked to the robust levels of demand from both regional and international investors. The overall book saw an impressive split between regional and global demand, with almost 40 per cent of the interest coming from international investors, further highlighting the global appeal and trust in Binghatti’s financial instruments.

Binghatti has introduced globally renowned brands such as the automotive legends, Bugatti and Mercedes-Benz as well as the high-end jewellery and horology brand Jacob&Co. to real estate for the very first time in groundbreaking collaborations. This strategic move has heightened market interest, highlighting Binghatti’s innovative approach to property development. Binghatti’s current portfolio value stands at over ca Dh40 billion, further solidifying the brand’s position as a leader in the market.

“We are pleased with the exceptional response to our sukuk tap which highlights the continued confidence and trust that both regional and global investors have in Binghatti. The oversubscription and favorable pricing reflect our solid market position and the strength of our brand. We remain committed to delivering value to all of our stakeholders and driving growth in the real estate sector,” said Muhammad BinGhatti, chairman of Binghatti.