Page 139 - SOBHA REALTY PR REPORT - SEPTEMBER 2024

9/16/24, 2:23 PM Sobha Realty Complete USD 230 Mn Sukuk Tap, taking total Sukuk Holdings to USD 500 Mn

Sobha Realty Complete USD 230 Mn Sukuk Tap,

taking total Sukuk Holdings to USD 500 Mn

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9/15/2024 9:57:40 AM

(MENAFN- Orient Planet Group) Dubai, September 12, 2024 – Sobha Realty, a leading global

luxury real estate developer, announces the successful execution of a strategic tap into its
existing sukuk on Tuesday, September 10, 2024. This latest tap is an extension of the

Developer’s inaugural sukuk issuance of USD 300 million, which took place in July 2023 and
currently has an outstanding balance of USD 270 million. This sukuk was listed on both the

London Stock Exchange (LSE) and NASDAQ Dubai.
With the completion of this tap, Sobha Realty’s total sukuk issuance now reaches a

benchmark size of USD 500 million. The tap adheres to the existing sukuk terms, preserving
the favorable conditions and ensuring continued stability for the company’s valued investors.
The significant interest in Sobha Realty’s sukuk led to a notable price tightening of 95 basis

points, highlighting strong demand from both regional and international investors.
Approximately 25% of the interest comes from global sources, reflecting strong confidence in

Sobha Realty’s financial instruments.
Sobha Realty appointed Abu Dhabi Commercial Bank, Abu Dhabi Islamic Bank, Dubai Islamic

Bank, Emirates NBD Capital, Sharjah Islamic Bank, and Standard Chartered Bank as Joint
Global Coordinators, Joint Lead Managers, and Bookrunners for this transaction. Their

expertise and commitment have been instrumental to its success.
The company also acknowledges Clifford Chance and Dentons for their exceptional legal
counsel, which provided critical guidance throughout the transaction. Additionally, Grant

Thornton’s role as auditors was pivotal in ensuring the integrity and transparency of the

process.
This announcement follows recent upgrades from leading credit rating agencies. Standard &
Poor’s has upgraded our rating from BB-/Positive to BB/Stable, while Moody’s has upgraded

our sukuk rating from Ba3/stable to Ba2/stable. These upgrades reflect our strong financial
results, including substantial EBITDA growth, a larger revenue backlog, and improved

EBITDA margins.

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