Dar Al-Arkan Real Estate Development Company, one of Saudi Arabia’s leading property developers, has successfully priced its $750 million, five-year sukuk under Regulation S. The Islamic bond was priced at a profit rate of 7.250%, narrowing from initial price guidance set around 7.750%.
The reoffer yield for the senior unsecured sukuk stands at 7.375%, reflecting investor confidence in the issuance.
Dual Listing and Credit Rating
Structured as an Ijara-commodity Murabaha sukuk, the issuance is expected to receive a B1 rating from Moody’s. Dar Al-Arkan confirmed that the sukuk will be listed on both the London Stock Exchange’s Main Market and Nasdaq Dubai, broadening its visibility and access to international investors.
Strong Market Demand
The offering attracted robust investor interest, with final order books exceeding $2.6 billion, excluding interest from joint lead managers. This high level of oversubscription signals strong global appetite for Shariah-compliant instruments originating from the Gulf region.
