|16 October, 2019

Aldar Investments' Landmark US$500 million 10-year Sukuk attracts strong investor demand

First ever 10-year public Sukuk offering by an Abu Dhabi-based issuer

  • Lowest ever coupon achieved by an Aldar entity, at 3.875%
  • Strong demand from international investors, with issue over 6 times oversubscribed

Abu Dhabi: Aldar Investment Properties LLC (“Aldar Investments”), a 100% owned subsidiary of Aldar Properties PJSC (“Aldar”), announced today the successful placement of fixed rate US dollar-denominated sukuk with a tenor of 10 years for a nominal amount of US $500 million.

The sukuk carries a coupon rate of 3.875%, the lowest rate ever achieved by Aldar, following strong investor demand. The transaction, which marked the first 10-year public Sukuk offering by an Abu Dhabi-based issuer, was over 6 times oversubscribed, with global investors accounting for 71% of the total transaction allocation.

Aldar Investments owns and manages a AED 20 billion diversified portfolio of high-quality income-generating residential, retail, commercial and hospitality assets.

Commenting on the sukuk issuance, Talal Al Dhiyebi, CEO of Aldar said: “The success of the transaction represents a strong endorsement by the global investment community of the Abu Dhabi economy and of Aldar’s leading position in the regional real estate sector. This landmark deal further strengthens our balance sheet, and is testament to Aldar Investments’ status as one of the most efficient platforms for property ownership in the region.”

The net proceeds of the offering will be used to refinance existing debt. The issuance contributes to an optimal diversification of Aldar Investments’ funding base and extends Aldar’s overall duration of its liabilities.

Aldar Investments is rated Baa1 by Moody’s, the highest credit rating for a corporate non-government corporate in the region reflecting its leading market position in Abu Dhabi, stable recurring revenue, high quality of diversified assets, high occupancies, diversified tenant based and strong operating model.

Aldar mandated Dubai Islamic Bank, First Abu Dhabi Bank, HSBC and Standard Chartered Bank as Joint

Global Coordinators and Joint Lead Managers, along with Abu Dhabi Commercial Bank, Abu Dhabi Islamic Bank, Emirates NBD Capital and Sharjah Islamic Bank as Joint Lead Managers.

- Ends-

For further information, please contact:
IR/Media
Chris Wilson/Nick Farmer
Aldar Properties
+971 2 810 5555

Joudi Issa
Brunswick
+971 2 234 4600
ALDAR@brunswickgroup.com

About Aldar

Aldar Properties PJSC is the leading real estate developer in Abu Dhabi with USD10 billion in assets, a 75 million sq. m land bank, and through its iconic developments, it is one of the most well known in the United Arab Emirates, and wider Middle East region.

From its beginnings in 2005 through to today, Aldar continues to shape and enhance the urban fabric of the UAE’s Capital City in addition to other key areas of the Emirate.

Aldar develops exciting and innovative projects, such as the internationally recognized HQ building situated in the Al Raha Beach development, the Gate Towers in Shams Abu Dhabi on Al Reem Island, in addition to Yas Island’s F1 circuit.

Aldar’s shares are traded on the Abu Dhabi Securities Exchange (Stock quote: ALDAR:UH), and is a profitable, cash generative business that provides recurring revenues, and benefits from a diverse and supportive shareholder base. Aldar operates according to high standards of corporate governance and is committed to operating a long term and sustainable business in order to provide ongoing value for its shareholders.

Aldar seeks to create quality, comfortable, desirable destinations that enrich the lives of Abu Dhabi residents as well as tourists within the Emirate. Aldar is playing a leading role in the development and provision of world class retail - Yas Mall, international standard education through Aldar Academies, iconic entertainment venues such as the Yas Marina Circuit, and community amenities across its entire portfolio.

Aldar is driven by a vision to be the most trusted and recognized real estate lifestyle developer in Abu Dhabi and beyond.

For more information on Aldar please visit www.aldar.com

© Press Release 2019

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