Nasdaq Dubai has welcomed the listing of a USD 500 million Sukuk by The Arab Energy Fund, marking the multilateral institution's fourth listing on the exchange and reinforcing Dubai's standing as a global hub for Islamic finance.
The Sukuk, issued under TAEF's Trust Certificate Issuance Programme through APICORP Sukuk Limited, comprises USD 500 million in Trust Certificates due 2031. The senior unsecured issuance carries a profit rate of 4.686% and was priced at a spread of 70 basis points over SOFR, with pricing tightening from initial guidance after demand significantly exceeded supply.
The transaction drew orders of more than USD 900 million, making it twice oversubscribed. Investor demand was both strong and broadly diversified, drawing participation from central banks, sovereign funds, supranational institutions, and agencies — a profile that reflects the confidence international capital markets hold in TAEF's credit standing. The Trust Certificates are rated Aa2 by Moody's and AA+ by Fitch.
To mark the occasion, TAEF Chief Executive Officer Khalid Ali Al-Ruwaigh rang the market-opening bell at Nasdaq Dubai alongside Hamed Ali, CEO of Nasdaq Dubai and Dubai Financial Market, and senior representatives from both organisations.
Vicky Bhatia, Chief Financial Officer of The Arab Energy Fund, noted that the transaction demonstrated the institution's ability to navigate challenging market conditions, achieving pricing with no new issue premium — a result he described as a direct reflection of investor confidence in TAEF and its mission.
Hamed Ali highlighted the broader significance of the listing, pointing to TAEF's role as an established issuer that supports market development and broadens investment opportunities for both regional and international investors.
The latest listing follows TAEF's USD 500 million 10-year Sukuk earlier this year and forms part of the Fund's diversified funding strategy to advance sustainable energy development across the Arab world.
With this addition, the total outstanding value of Sukuk listed on Nasdaq Dubai now exceeds USD 98.6 billion, while total debt listings on the exchange have surpassed USD 141 billion across sovereign, supranational, financial institution, and corporate issuers.
News Source: Emirates News Agency
