Dubai's Jafza Plans Benchmark-Size, USD Sukuk Issue

Sunday, Jun 03, 2012

DUBAI (Zawya Dow Jones)--Dubai's Jebel Ali Free Zone, or Jafza, has mandated banks to arrange a series of meetings with investors starting this week and may issue a benchmark-sized, U.S. dollar Islamic bond, or sukuk, depending on market conditions, according to a banker aware of the transaction.

Abu Dhabi Commercial Bank, Abu Dhabi Islamic Bank, Citigroup, Dubai Islamic Bank, Emirates NBD, National Bank of Abu Dhabi, and Standard Chartered Bank are arranging the meetings with investors in Asia, Europe and the Middle East, the banker, who declined to be identified, told Zawya Dow Jones.

The planned regulation S transaction will be listed on the Irish Stock Exchange and Nasdaq Dubai, the banker added.

Jafza is scheduled to meet investors in the U.A.E. on June 5, Singapore on the 7th, Hong Kong on the 8th, and London on the 11th and 12th.

Late last month Jafza said it received consent from holders of its 7.5 billion U.A.E. dirham ($2.04 billion) sukuk to repay the debt early.

Jafza, a government-related entity that runs the area around Dubai's main Jebel Ali port, sought the amendment early this month, saying it was in "advanced discussions" with a group of banks to secure a financing package to address the debt, originally set to mature in November.

-By Nikhil Lohade, Dow Jones Newswires; +9714 446-1694; nikhil.lohade@dowjones.com; Twitter: @ZDJnews