Qatar Islamic Bank (QIB), rated A1 by Moody’s Investors Service and A by Fitch Ratings, has priced a $750 million five-year senior unsecured sukuk, reflecting solid investor demand and tighter pricing versus initial guidance.
Pricing Tightens from Initial Guidance
The Regulation S-only issuance priced at par with a spread of 80 basis points over US Treasuries. Consequently, the profit rate was set at 4.402 percent. Initial price thoughts had been in the T+115 basis points area, indicating meaningful tightening during bookbuilding.
Final orderbooks exceeded $1.6 billion, excluding joint lead manager interest. As a result, the transaction achieved healthy oversubscription, supporting final pricing at the tighter end of expectations.
The trust certificates were issued through the special-purpose vehicle QIB Sukuk Ltd. under the bank’s $5 billion Trust Certificate Issuance Programme. Moreover, the structure follows Wakala and Murabaha principles, aligning with Shariah-compliant financing standards.
Listing and Timeline
Settlement is scheduled for 5 March 2026, with maturity set for 5 March 2031. The expected issue rating is A by Fitch. Therefore, the sukuk aligns with the bank’s existing credit profile.
The certificates will list on the London Stock Exchange’s International Securities Market, broadening access to international investors.
A consortium of regional and international banks acted as lead managers on the issuance, underscoring strong institutional support across Islamic and conventional finance platforms.
