Ittihad has successfully priced a $550 million 5-year non-call 2 144A/Reg S Sukuk, marking a significant step in its strategy to enhance its capital structure and extend its debt maturity profile. The Sukuk, which carries a 7.375% coupon, was oversubscribed by more than four times, attracting a diverse range of high-quality global investors. This issuance saw 65% of the final allocation placed with international investors and 35% with regional investors, significantly broadening Ittihad’s investor base across geographies and investor types. The strong demand allowed Ittihad to tighten initial price thoughts by 50 basis points during the bookbuilding process. The transaction was further bolstered by Ittihad’s recent credit rating upgrades to BB- by both S&P and Fitch, which highlighted the company’s improving financial profile and strategic outlook. Amer Kakish, CEO of Ittihad, expressed satisfaction with the issuance, noting it reflects global confidence in the company’s direction. Stefan Weiler of JPMorgan, which acted as Joint Global Coordinator, praised the achievement as a testament to Ittihad’s growth. Proceeds from the Sukuk will be used for debt refinancing. The issuance was managed by a consortium of leading financial institutions, including Abu Dhabi Islamic Bank, Emirates NBD Bank, and J.P. Morgan Securities.
Ittihad successfully prices $550 million 5-year non-call 2 144a/Reg S Sukuk
