Emirates REIT debuts world’s largest, Shariah compliant REIT on ISE
Emirates REIT (CEIC) Limited (Emirates REIT), has listed the world's largest, publically listed Shariah-compliant real estate investment trust, with its inaugural US$400 million issuance of 5 year trust certificates on the Main Securities Market (MSM) of the Irish Stock Exchange (ISE).
The trust certificates will pay a profit rate of 5.125% per annum and have a maturity date of December 2022.
Emirates REIT is the first REIT from the MENA region to access the international sukuk market and obtain a credit rating. The landmark transaction attracted strong investor demand from 90 global investors and was 2.5 times oversubscribed.
Clifford Chance acted as legal advisor to Emirates REIT in this transaction.
About Emirates REIT
Emirates REIT has and continues to develop a diversified portfolio of Shariah-compliant real estate properties and related assets through the acquisition of property assets with an initial focus on Dubai but with subsequent exploration of other opportunities in the UAE.
As at 30 September 2017, the portfolio included a total of 10 properties, diversified in terms of location, use and tenants.
Sukuk listings on the ISE
In April this year the ISE listed the world’s largest ever sukuk issuance when $9bn bonds were listed on the MSM by the Kingdom of Saudi Arabia. Other sukuk issuers listed on the ISE include Flydubai, Saudi Electricity, Apicorp and Turkey’s Aktif Bank.