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Nasdaq Dubai has recently marked a significant milestone by welcoming Mashreq’s debut listing on the exchange, featuring a notable $500 million Sukuk issued by Mashreq Al Islami Sukuk Company Ltd. This strategic maneuver opens new avenues for Mashreq in the dynamic sphere of Islamic finance.
The trust certificates, which are set to mature in 2030, were launched under Mashreq’s expansive $2.5 billion Trust Certificate Issuance Programme. This listing serves as a secondary admission following a robust demand observed in the primary market, as highlighted in reports from WAM. Such efforts highlight the Bank’s commitment to tapping into international capital markets effectively.
Celebrating a Strategic Milestone
To celebrate this pioneering listing, top officials from Mashreq attended a market opening ceremony at Nasdaq Dubai. Among them were Ahmed Abdelaal, the Group Chief Executive Officer, Joel Van Dusen, Group Head of Corporate & Investment Banking, and Salman Hadi, Group Head of Treasury & Global Markets. The ceremonial bell was rung by Ahmed Abdelaal, a moment emblematic of new beginnings for Mashreq.
Abdul Aziz Al Ghurair, Chairman of Mashreq, remarked on the significance of this Sukuk listing as a testament to the Bank’s commitment to enhancing the global Islamic finance landscape. He emphasized that the listing is not just a financial transaction but a meaningful step towards reinforcing investor trust and fostering the maturation of Islamic capital markets.
In tandem, Ahmed Abdelaal emphasized that this Sukuk issuance reflects Mashreq’s disciplined approach to funding, navigating through the complexities of the macroeconomic environment. Through diversifying their capital structure via Sharia-compliant instruments, the Bank aims to uphold strong financial fundamentals, market transparency, and sustainable value for stakeholders.
Investor Confidence and Market Impact
Hamed Ali, CEO of Nasdaq Dubai and Dubai Financial Market (DFM), echoed sentiments of growth in the Islamic finance sector, noting that the listing signifies Mashreq’s ambitious trajectory. He reinforced Nasdaq Dubai’s commitment to functioning as a premier marketplace, connecting regional issuers with a broader set of global investors. As Dubai continues to evolve its capital markets infrastructure, such initiatives play a crucial role in promoting sustainable growth across the financial ecosystem.
The Sukuk issuance also achieved a remarkable feat by marking Mashreq’s successful return to the international debt capital markets. It represented the first public issuance from the CEEMEA region following the April 2025 announcement of U.S. tariffs, which had stirred market volatility. The resounding success of this transaction has revitalized confidence among market participants.
The transaction saw an overwhelming investor response, boasting an order book of $2.9 billion, nearly six times oversubscribed. The final pricing was set at UST +105 basis points, reflecting a fixed profit rate of 5.03 percent per annum, underscoring investor confidence in Mashreq’s creditworthiness. Participation from over 90 global investors across the Middle East, Europe, and Asia illustrates the Bank’s standing in the Islamic finance arena and bolsters Dubai’s image as a key global hub for Sharia-compliant capital markets.
This listing elevated the total value of Sukuk on Nasdaq Dubai to an impressive $97.2 billion, reinforcing the exchange’s stature as one of the top centers for Islamic fixed income. Moreover, the overall value of debt securities listed on Nasdaq Dubai has surpassed $140 billion across 163 issuances, illustrating the deep and mature nature of the UAE’s capital markets. The growing appeal of Dubai as an investment gateway continues to attract interest from regional and international investors alike.
