حفلة 2024

ADIB issues first USD-denominated Green Sukuk

Abu Dhabi Islamic Bank (ADIB) issued the world’s first USD green Sukuk on Abu Dhabi Securities Exchange (ADX) on Friday, which was oversubscribed by over five times, as per a statement.

The Sukuk, valued at $500 million, saw substantial demand from three regions, as the final allocations were 78 percent to the MENA region, 13 percent to Europe, and nine percent to Asia and the U.S.

Private banks acquired 26 percent of the Sukuk, while asset and fund managers accounted for another 17 percent, and commercial banks took up 42 percent. Moreover, other investors distributed the remaining 16 percent among themselves.

“The widespread interest from global investors in the Sukuk indicates their confidence in our sustainable finance framework, our financial performance, and our prudent financial and risk management approach,” said Nasser Al Awadhi, ADIB Group CEO.

“As a prominent bank in the Emirate, ADIB recognises the importance of Abu Dhabi’s economic landscape,” Al Awadhi added.

ADIB appointed Standard Chartered Bank as the sole global coordinator and sustainability structure. In addition, Emirates NBD, First Abu Dhabi Bank (FAB), and Sharjah Islamic Bank served as joint lead managers and bookrunners alongside ADIB.

Al Awadhi further stated that the listing of this Sukuk on ADX paves the way for investors who are mindful of ESG to contribute to the regional economy in a manner that optimises public advantage. The dual listing stands as proof of ADX’s regional leadership and excellence in securities markets.

Salem Alnuaimi, CEO of ADX, said, “as a trusted exchange and investment platform, ADX recognises its role in enabling green finance and supporting investors with financial instruments and services that align with their sustainability objectives.”

“We will continue to actively contribute towards the economic growth and diversification of the Emirate of Abu Dhabi and the UAE and support the UAE’s sustainability commitment,” Alnuaimi added.

It’s noteworthy that in the initial nine months of 2023, ADIB reported a net profit of 3.75 billion United Arab Emirates dirhams. Additionally, the basic and diluted earnings per share (EPS) amounted to 0.91 dirhams.

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