Noor Bank, the United Arab Emirates-based Shari’ah-compliant financial institution launched in 2008, last week listed its first Sukuk offering on NASDAQ Dubai, valued at $500 million.
The bank’s new issuing is one of the lowest yield Sukuk on the Dubai market and received a positive response from investors. Noor’s Sukuk was so popular on opening that it was oversubscribed by more than 4 percent.
“We are very pleased to become one of the lowest priced Sukuk issuers to be listed on Nasdaq,” Noor Bank CEO Hussain Al Qemzi said. “Our growing stature as an Islamic institution with worldwide reach is well supported by our listing on the international exchange located in our home region.”
Duabai’s exchanges now include 31 Sukuk certificates, the bond-like financial instruments designed to follow Islamic lending laws. The growth of Dubai’s Sukuk market is making the Emirate into one of world’s leading Islamic financial sectors.
Essa Kazim, the Dubai Financial Market’s CEO and managing director, said Noor’s Sukuk launch is in line with the Capital of Islamic Economy initiative mandated by Dubai’s ruler, UAE Prime Minister Mohammed Bin Rashid Al Maktoum.
“Noor Bank’s decision to list its debut Sukuk on Nasdaq Dubai highlights the dynamism of the Sukuk sector in the Emirate,” Kazim said.
The new Sukuk drew interest from investors around the world. More than 45 percent of the newly issued financial instruments were allocated to European and Asian buyers, with the rest mostly sold in the Middle East.
