Islamic Finance 

Sukuk Reissuance of USD 750 million

| 12 June, 2019

Kuala Lumpur, Malaysia – 12 June 2019.  Today, the International Islamic Liquidity Management Corporation (IILM) has successfully reissued short-term Sukuk amounting to USD 750 million in two tranches. The Sukuk were rated A-1 by Standard & Poor’s. The details of today’s reissuance are as follows:

1. USD 250 million with 1-month tenor at a profit rate of 2.55%; and

2. USD 500 million with 3-month tenor at a profit rate of 2.60%.

Main Highlights of the Sukuk Reissuance of USD 750 million

1. The two series of the IILM Sukuk that were issued today offered two different tenors of 1-month and 3-month.

2. The demand for the two Sukuk series reached a bid-to-cover ratio of 181% for the 1-month and 184% for the 3-month tenor, respectively.

3. The profit rate achieved for the 1-month Sukuk is 2.55% compared to the indicative pricing guidance range of 2.54%-2.60% while the profit rate achieved for the 3-month Sukuk is 2.60% compared to the indicative pricing guidance range of 2.58%-2.64%.

4. Purchases by Islamic Primary Dealers (PDs) in the primary auction amounted to 85% and 56% for the 1-month and 3-month Sukuk, respectively.

5. In terms of geographical distribution, the allocation of GCC-based PDs stood at 78% and 69% of the 1-month and 3-month Sukuk respectively whereas Asia-based PDs were allocated 20% and 6% of the 1-month and 3-month Sukuk respectively. The PDs based in other jurisdictions received 2% and 25% for the 1-month and 3-month Sukuk respectively.

The following Primary Dealers have participated in the two auctions conducted under the competitive bidding of the Bloomberg AUPD Platform, sorted by alphabetical order:

1. Abu Dhabi Islamic Bank;

2. Al Baraka Turk;

3. Barwa Bank;

4. Boubyan Bank;

5. CIMB Islamic;

6. First Abu Dhabi Bank;

7. Kuwait Finance House;

8. Macquarie Bank;

9. Maybank Islamic;

10. Qatar Islamic Bank; and

11. Standard Chartered Bank.

-end-

About the IILM

The International Islamic Liquidity Management Corporation (IILM) is an international organisation established on 25 October 2010 by central banks, monetary authorities and multilateral organisations to develop and issue short-term Shari’ah-compliant financial instruments to facilitate effective cross-border liquidity management for institutions that offer Islamic financial services (IIFS).

The current members of the IILM Governing Board are the central banks and monetary agencies of Indonesia, Kuwait, Luxembourg, Malaysia, Mauritius, Nigeria, Qatar, Turkey, the United Arab Emirates, as well as the multilateral Islamic Corporation for the Development of the Private Sector.

Membership of the IILM is open to central banks, monetary authorities, financial regulatory authorities or government ministries or agencies that have regulatory oversight of finance or trade and commerce, and multilateral organisations.

The IILM is hosted by Malaysia and headquartered in Kuala Lumpur.

 

Media Enquiries:

The International Islamic Liquidity Management Corporation (IILM)

T: +60(3) 2170 5000

F: +60(3) 2170 5111

E: info@iilm.com

Website: http://www.iilm.com

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