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Islamic Finance

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  • Dubai-based Emirates Islamic Bank on Tuesday set down a strong marker for Middle East sukuk issuance in 2012, as it hit the market with a tightly priced $500m benchmark deal. The dollar denominated five year transaction came in at 350bp over mid-swaps, with a profit rate of 4.718%.
  • Abu Dhabi-based First Gulf Bank on Wednesday afternoon issued its $500m sukuk at 287.5bp over mid-swaps, in line with earlier price talk. The five year deal came with a profit rate of 4.046% and was the second benchmark sukuk from the bank in six months.
  • Tamweel, the Dubai-based mortgage company, issued the first $300m tranche of a $1bn sukuk programme on Wednesday. The five-year deal had a profit rate of 5.154% and was priced in line with earlier indications at around 400bp over mid-swaps. This was some 50bp outside where fellow Dubai issuer Emirates Islamic Bank priced its $500m sukuk the day before, but inside Dubai government bond secondaries.
  • Abu Dhabi-based First Gulf Bank on Wednesday afternoon issued its $500m sukuk at 287.5bp over mid-swaps, in line with earlier price talk. The five year deal has a profit rate of 4.046% and is the second benchmark sukuk from the bank in six months.
  • Tamweel , the Dubai-based mortgage company, launched the first $300m tranche of a $1bn sukuk programme on Wednesday. Early indications were that the deal would be targeted at around 400bp over mid-swaps – some 50bp outside where fellow Dubai issuer Emirates Islamic Bank priced its $500m sukuk the day before, but inside Dubai government bond secondaries.