Binghatti Holding Launches $500 Million Green Sukuk On Nasdaq Dubai Amid Strong Investor Demand

Nasdaq Dubai has announced the listing of a $500 million Green Sukuk by Binghatti Holding Limited, a rapidly expanding property developer in Dubai. This marks Binghatti's first issuance linked to environmental, social, and governance (ESG) criteria. The Sukuk is part of a $1.5 billion Trust Certificate Issuance Programme and will mature in 2029.

The Green Sukuk was met with significant interest, being oversubscribed 4.3 times and attracting over $2.1 billion in orders from both regional and international investors. Initially guided at 8.125%, the profit rate was tightened to 7.75% due to high demand. This issuance aligns with Binghatti's sustainability goals and supports the UAE Net Zero 2050 initiative.

Proceeds from this Sukuk will be directed towards green projects that fit within Binghatti's sustainability framework. The move underscores Dubai's strategy to promote sustainable finance as an essential component of its economic development. Ahmed BinGhatti and Katralnada BinGhatti, vice chairman and CEO of Binghatti Holding Limited, marked the occasion by ringing the market-opening bell at Nasdaq Dubai.

Katralnada BinGhatti stated: "Our debut Green Sukuk marks a significant milestone in Binghatti's journey toward sustainable and responsible growth. The Sukuk's strong oversubscription is a clear affirmation of the success of our unique vertically integrated business model and the confidence that both regional and international investors place in our vision and performance."

Hamed Ali, CEO of Nasdaq Dubai and Dubai Financial Market (DFM), commented on the listing: "We are pleased to welcome Binghatti's inaugural Green Sukuk on Nasdaq Dubai. The transaction reflects the growing investor appetite for ESG-focused instruments and the strength of Dubai's capital markets as a global hub for Islamic and sustainable finance."

Binghatti now has a total Sukuk value listed on Nasdaq Dubai amounting to $1.5 billion, showcasing their trust in this exchange platform. This listing contributes to Nasdaq Dubai’s total outstanding debt listings, which now exceed $141 billion, reinforcing its position as a leading venue for Islamic and sustainable finance instruments globally.

The successful issuance highlights Binghatti’s commitment to environmentally friendly development while supporting Dubai’s ambition to be a global leader in sustainable finance.