Abu Dhabi’s sovereign wealth fund, Mubadala, has issued US$1 billion worth of 10-year Islamic bonds, or sukuk, denominated in US dollars. This marks its first debt offering of the year, according to fixed income news provider IFR.
The sukuk were issued via the Mamoura Diversified Global Holding vehicle and were priced at 60 basis points above US Treasuries. This was tighter than the initial guidance of 95 basis points, following strong demand with orders exceeding US$4.75 billion, IFR noted.
In October, the fund had previously secured AED 1 billion (equivalent to US$272.3 million) through the issuance of five-year sukuk.
Earlier this month, Mubadala reported a 9.1% rise in assets under management, which now stand at AED 1.2 trillion, driven by increased investments in sectors such as technology, manufacturing, and private credit.
Mubadala is Abu Dhabi’s second-largest state-owned investment entity, ranking behind the Abu Dhabi Investment Authority (ADIA). Alongside the smaller fund ADQ, the trio collectively manage assets totalling approximately US$1.7 trillion.
Bond issuances from the Gulf region have intensified recently, with several entities accessing the markets despite disruptions sparked by tariffs introduced by former US President Donald Trump.
