- Regulation S Sukuk priced at a profit rate of 8.125%
- USD 500 million raised under Binghatti’s USD 1.5 billion issuance programme
- International investors drove 50% of demand after strong first-half results
Binghatti Holding Ltd (“Binghatti Holding”), one of the UAE’s fastest expanding real estate developers, has successfully priced a USD 500 million Senior Unsecured Sukuk with a 5-year tenor, issued under its USD 1.5 billion Trust Certificate Issuance Programme. The offering was oversubscribed fivefold.
The Regulation S Sukuk attracted robust demand from both regional and overseas investors, with total orders surpassing USD 2.5 billion. The sukuk was finalised at a profit rate of 8.125%, translating to a 418 basis point spread over the current 5-year US Treasury benchmark. Owing to high demand, pricing tightened from initial guidance in the 8.500% range. The strong investor appetite underscores broad confidence in Binghatti’s financial strength, brand equity, and forward-looking strategy. The company holds a Ba3 rating from Moody’s and a BB- from Fitch, both with stable outlooks.
The Sukuk will be listed on both Nasdaq Dubai and London Stock Exchange.
Muhammad BinGhatti, Chairman of Binghatti Holding, commented: “Binghatti’s landmark sukuk marks a pivotal milestone in our journey, reinforcing our position as one of the region’s most dynamic and diversified developers. The strong demand and investor trust shown in the USD 500 million issue from our sukuk programme highlights Binghatti’s unique model, a vertically integrated platform underpinned by phenomenal growth and market leading execution.”
Ahmed Abdelaal, Mashreq Group Chief Executive Officer, said: “We are proud to have played a pivotal role in Binghatti’s return to the sukuk market, having supported their journey since their inaugural issuance last year. The exceptional investor response—both regional and international—underscores the strong appetite for the Dubai growth story and confidence in Binghatti’s trajectory. This landmark issuance not only affirms their access to global capital markets but also establishes a new 5-year benchmark for the sector. Mashreq continues to lead in advising regional corporates on accessing international capital markets from inception. Our partnership with Binghatti reflects the trust placed in our expertise and capabilities.”
Binghatti Holding’s H1 2025 net profit more than tripled to AED 1.82 billion, driven by resilient demand for Dubai real estate. The Group’s total sales reached AED 8.8 billion, with revenue climbing 189% YoY to AED 6.3 billion.
The Group launched seven new projects and delivered five developments in H1 alone, handing over 15 projects in the last 18 months. Its AED 12.5 billion revenue backlog and over AED 70 billion development portfolio positions it as one of Dubai’s leading developers. Binghatti currently has ca. 20,000 units under development across 30 projects in prime Dubai locations including Downtown, Business Bay, Jumeirah Village Circle, and Meydan as well as its flagship branded residences in collaboration with luxury partners Bugatti, Mercedes-Benz and Jacob & Co.
The company’s development pipeline was further reinforced by the recent acquisition of ca. 9 million sq. ft. megaplot in Nad Al Sheba 1, which will host Binghatti’s first master-planned community, with a projected development value of over AED 25 billion.
