Meraas Holding has issued $400m sukuk — sources

DUBAI

Dubai’s Meraas Holding, a real estate developer owned by the government, issued a $400 million (Dh1.47 billion) sukuk last week selling it privately to a select group of investors, sources familiar with the matter said on Thursday.

The Islamic bond, with a five-year maturity, was priced at par with a 5.112 per cent yield on May 26. It was trading at one to 1.5 points above par on Thursday, one source said.

Emirates NBD, Noor Bank and Standard Chartered coordinated the transaction and served as bookrunners along with Dubai Islamic Bank, Sharjah Islamic Bank and Warba Bank.

Meraas was not available for immediate comment.

Meraas is the parent company of leisure and entertainment company DXB Entertainment, which owns four theme parks and a water park in Dubai.

A new entity has been set up which will manage billions of dollars of development projects for Meraas Holding and Dubai Holding, the latter said this week. Raed Kajoor Al Nuaimi, formerly chief executive of DXB Entertainment, will lead the new management company.