Middle East Bonds

Emaar Malls can easily price its benchmark sukuk inside existing Emaar Properties paper, said a banker close to the deal and United Arab Emirates investor, although it is thought the firm will issue a 10 year tranche.

Emaar Malls Group tightened guidance on its 10 year benchmark sukuk to 190bp area over mid-swaps on Tuesday afternoon in London, following strong demand for the paper.

Saudi Telecom Co has placed SR2bn ($533.2m) of 10 year sukuk privately, taking deals from the kingdom this year to over $8bn worth – with more lining up.

Kuveyt Turk Participation Bank is embarking on a roadshow to market a dollar sukuk.

National Bank of Ras Al-Khaimah (Rakbank) has picked banks for its first benchmark dollar bond, which would mark its return to the currency for the first time since 2006.

A fat pipeline of sukuk and bonds before the end of the month should add to what is already one of the busiest quarters on record for Middle East dollar deals. With Ramadan and the summer slowdown approaching, this extra surge is a big test of market depth – particularly for sukuk – but it is one that that the market should pass comfortably.

Saudi Arabian fashion retailer AlHokair signed a SR1bn ($267m) Shariah-compliant financing facility with Gulf banks on Thursday and is preparing to price a debut sukuk next week.

Saudi Investment Bank has issued SR2bn ($533.23m) of sukuk for the first time, as the Kingdom’s banks aim to strengthen their capital bases to comply with Basel III regulations.

Turkish participation banks Albaraka Turk and Kuveyt Turk have both received permission from the country’s Capital Markets Board to issue up to $500m of sukuk to foreign investors.

Emaar Malls Group, fresh from placing a $1.5bn seven year Islamic loan last week, has picked eight banks for a benchmark dollar sukuk and lined up roadshows.

Emaar Malls Group, fresh from placing a $1.5bn seven year Islamic loan last week, has picked eight banks for a benchmark dollar sukuk and lined up roadshows.

Jordan will look to issue both local and foreign currency sukuk early next year, with ministry and central bank officials meeting over the next two to three weeks to discuss the debut plans.