Staff Report
Dubai, UAE
Binghatti Holding, a leading UAE developer, has successfully priced a US$500 million 5-year senior unsecured sukuk under its US$1.5 billion Trust Certificate Issuance Programme, a transaction that was oversubscribed by five times.
The Regulation S Sukuk issuance attracted strong regional and international investor demand, with an order book exceeding US$2.5 billion. The sukuk was priced with a profit rate of 8.125 percent, equivalent to a spread of 418 basis points over the prevailing five-year US Treasury yield, and given the strong levels of demand the issuance saw significant tightening from its initial guidance of 8.500 percent area. The robust orderbook reflects broad market confidence in Binghatti’s credit fundamentals, brand strength, and long-term strategy. The company is rated Ba3 by Moody’s and BB- by Fitch, both with stable outlook.
The sukuk will be listed on both Nasdaq Dubai and London Stock Exchange.
Muhammad BinGhatti, Chairman of Binghatti Holding, said, “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.”
Binghatti Holding’s H1 2025 net profit more than tripled to Dh1.82 billion, driven by resilient demand for Dubai real estate. The group’s total sales reached Dh8.8 billion, with revenue climbing 189 percent year-only-year to Dh6.3 billion.
The group launched seven new projects and delivered five developments in H1 alone, handing over 15 projects in the last 18 months. Its Dh12.5 billion revenue backlog and over Dh70 billion development portfolio positions it as one of Dubai’s leading developers. Binghatti currently has around 20,000 units under development across 30 projects in prime Dubai locations including Downtown, Business Bay, Jumeirah Village Circle, and Meydan as well as 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 9 million square feet megaplot in Nad Al Sheba 1, which will host Binghatti’s first master planned community, with a projected development value of over Dh25 billion.
Ends
Also read: Binghatti announces 172% surge in half-yearly net profit collection
