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Bank of Sharjah has acted as a Joint Lead Manager in the successful issuance of a US$750 million, 10.5-year US dollar-denominated 144A/Reg S Sukuk for the Government of Sharjah, alongside other international and regional banks.
The issuance received strong interest from investors, with a peak order book of $2.6 billion, underscoring the global confidence in the Government of Sharjah’s credit story.
The Sukuk was launched with initial price guidance of US Treasuries plus a spread of +175 basis points area, with final pricing at 140 basis points over US Treasuries.
This tightening demonstrated the strength of demand from investors, with 34% of total orders coming from outside the MENA region.
Mohamed Khadiri, CEO of Bank of Sharjah, commented, “We are proud to have played a key role in this landmark Sukuk issuance for the Government of Sharjah, reflecting our deep commitment to the Emirate’s financial growth and development.
He continued, “The strong interest from both local and international investors is a testament to the confidence in Sharjah’s economic stability and fiscal discipline. Our collaborative efforts with esteemed partners have enabled us to effectively structure this Sukuk, ensuring it meets the needs of a diverse investor base while reinforcing Sharjah’s position in the global capital markets.
At the Bank of Sharjah, we are committed to providing financial solutions that drive economic progress. This Sukuk issuance is an important step in strengthening our support for the Government of Sharjah, and we are excited to continue partnering with them and other key stakeholders to facilitate their growth and development objectives.”
Damian White, Head of Treasury at Bank of Sharjah, said, “This Sukuk issuance marks a significant milestone in our efforts to further enhance financial collaboration with the Government of Sharjah.”