Ras Al Khaimah to price $500m sukuk amid high demand
DUBAI: The emirate of Ras al Khaimah, one of the seven members of the United Arab Emirates, was to price a $500m five-year sukuk later yesterday, with heavy demand from investors helping it to reduce its borrowing costs.
The deal has been launched to price at 175 basis points over midswaps, at the tight end of the 175-180 bps final guidance issued earlier yesterday, a document from lead managers said. That earlier guidance was well inside the initial price thought given on Monday of 200 bps over the same benchmark.
Pricing was able to be tightened after significant demand from investors, with order books for the bond in excess of $5bn and no plan to increase beyond the planned $500m size, update from lead managers said.
Reuters
