Masraf Al Rayan Successfully Completes the Issuance of USD 500 Million Sukuk.

06 November 2019

Masraf Al Rayan has announced a successful issuance of five-years-term Sukuk of USD 500 million. This issuance comes in line with the Bank’s strategy to issue USD denominated Sukuk with a total USD 2.0 billion.

The debut underwriting of Masraf Al Rayan Sukuk was 3 times oversubscribed, which reflects the high demand on the Sukuk by investors. The issue was priced at a margin of 140bp above average prices of the 5-years fixed and floating swap rates which results in the achievement of 3.025% yield per annum.

The underwriting covered investors from all over the world with percentages of 44% from Asia, 44% from MENA, 12% from Europe. Underwriting investors were 47% fund managers, 38% banks, 15% insurance companies and agencies 15%.

The success of this transaction comes as a result of a comprehensive marketing strategy based on the Bank’s solid financial position and the Qatari robust economy and was favorably received by the investors.

Al Rayan Investment, Boubyan Bank, MUFG, QNB Capital and Standard Chartered Bank acted as joint lead manager and book-runners for this transaction.