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ADIB repays $500m sukuk

Five-year sukuk matured on November 30

Gulf News

Abu Dhabi: Abu Dhabi Islamic Bank (ADIB) announced on Wednesday it has repaid in full $500 million (Dh1.8 billion) sukuk that matured on November 30. The bank paid the sukuk from its own resources.

The five-year sukuk, which were listed on the London Stock Exchange, were more than four times oversubscribed when they were launched in 2011 with a 3.78 per cent profit rate, ADIB said.

At the time of issuance, the sukuk were rated A2 by Moody’s and A+ by Fitch, with a stable outlook from both rating agencies. ADIB, Citibank, HSBC, National Bank of Abu Dhabi, Nomura and Standard Chartered Bank were the joint lead managers and bookrunners for the offering.

“ADIB’s ability to repay the Sukuk from its own resources and without the need for refinancing demonstrates our strong liquidity position, especially in these challenging market conditions. We will continue to explore potential opportunities to expand our funding sources as and when needed in the future,” said Abdul Qadir Khanani, Group Treasurer at ADIB, in a statement.

Last year, ADIB repaid a $750 million sukuk also from its own resources. The 5-year sukuk matured in November 2015 and had a profit rate of 3.74 per cent.