Middle East Bonds

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.

Türk Telekom is taking its credit story on the road head of a debut Eurobond having picked banks for its inaugural issuer last year.

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.

Turkey has endured a year of turmoil since the Gezi Park protests and a prolonged emerging market sell-off derailed its economic boom. But even as protesters and police mark the anniversary with another splash of teargas, Halkbank’s result last week shows Turkey’s banks have a prime opportunity to return to the bond market and underscore the country’s strong recovery. Banks thinking of waiting for the third quarter might do well to come now.

Saudi Arabia’s National Petrochemical Co (Petrochem) plans to issue sukuk for the first time. It has asked Deutsche Bank’s Saudi arm Deutsche Securities and Riyad Capital to organise meetings with potential local investors.

Turkey has endured a year of turmoil since the Gezi Park protests and a prolonged emerging market sell-off derailed its economic boom. But even as protesters and police mark the anniversary with another splash of teargas, Halkbank’s result last week shows Turkey’s banks have a prime opportunity to return to the bond market and underscore the country’s strong recovery. Banks thinking of waiting for the third quarter might do well to come now.