Page 131 - SOBHA REALTY PR REPORT - SEPTEMBER 2024

9/16/24, 2:21 PM Sobha Realty raises total sukuk holdings to $500 million with $230 million tap
obha Realty raises total sukuk holdings to $500 million with $230 million tap
Latest tap is an extension of the developer’s inaugural sukuk issuance of $300 million,
which took place in July 2023

Sobha Realty’s sukuk garnered significant interest which led to a notable price tightening of 95 basis points, highlighting strong
demand from both regional and international investors
Sobha Realty, a leading global luxury real estate developer, recently announced the successful
completion of a strategic $230 million tap into its existing sukuk on September 10. The latest tap is
an extension of the developer’s inaugural sukuk issuance of $300 million, which took place in July
2023 and currently has an outstanding balance of $270 million. Sobha Realty listed the issuance on
both the London Stock Exchange (LSE) and NASDAQ Dubai.
With the completion of this tap, Sobha Realty’s total sukuk issuance reached a benchmark size of
$500 million. The tap adheres to the existing sukuk terms, preserving favorable conditions and
ensuring stability for the company’s investors.
Sobha Realty’s sukuk garnered significant interest, which led to a notable price tightening of 95
basis points, highlighting strong demand from both regional and international investors. The
developer said that 25 percent of the interest came from global sources, reflecting strong confidence
in Sobha Realty’s financial instruments.
The announcement follows recent upgrades from leading credit rating agencies. Standard & Poor’s
upgraded Sobha Realty’s rating from BB-/positive to BB/stable, while Moody’s upgraded the
developer’s sukuk rating from Ba3/stable to Ba2/stable.

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