Abu Dhabi Islamic Bank (ADIB), a prominent financial institution in the UAE, marked a significant achievement on Tuesday as it rang the market-opening bell at the London Stock Exchange.
The celebration commemorated the successful listing of $750M in the world’s first dollar-denominated additional tier-one (AT1) perpetual sukuk since March 2023.
The prestigious market opening ceremony was attended by a senior representative from the UAE embassy in the UK, along with senior officials from ADIB, and distinguished guests, including ADIB’s Group Chief Executive Officer, Nasser Al Awadhi.
The issuance garnered exceptional demand, with more than 240 global and regional investors showing keen interest.
The final order surpassed $7B, making it oversubscribed by over 9 times, and the final pricing was 62.5 bps tighter than the initial pricing.
Al Awadhi said: “The successful issuance and listing of our sukuk was the result of the exceptional interest from a broad range of domestic, regional, and international investors, who showed confidence in Abu Dhabi Islamic Bank assets quality, direction, and vision. We were so pleased to see this strong international demand despite the market conditions especially for an AT1 issuance. This has helped us to issue the sukuk at a final pricing 62.5 bps tighter than the initial pricing thoughts.”
“The listing on the London Stock Exchange provides us with a globally recognised platform for trading, partnering, and conducting business. This will enable us to reach a wider global audience, furthering our brand and strategic objectives in the international market. Additionally, it enhances our credibility on a global scale, fostering meaningful connections with partners and stakeholders worldwide.” He added.
The issuance witnessed strong demand from three regions, with 83 per cent allocated to the Middle East and North Africa (MENA), 13 per cent to Europe, and 4 per cent to Asia.
Notably, private banks, asset and fund managers, commercial banks, and others played significant roles as major investor types.
HSBC and Standard Chartered Bank acted as joint global coordinators, while ADIB, Citi, Emirates NBD Capital, First Abu Dhabi Bank, and J.P. Morgan served as joint lead managers and bookrunners.
