Abu dhabi: Burjeel Holdings, a prominent super-specialty healthcare group in the GCC, listed on the Abu Dhabi Securities Exchange, has successfully priced its inaugural US$500 million Regulation S 5-year senior unsecured Sukuk offering due 2031 under its newly established US$1.5 billion Senior Unsecured Sukuk Programme.
According to Emirates News Agency, the offering drew substantial interest from both international and regional investors, with the orderbook reaching a peak of US$1.6 billion, indicating an oversubscription of 3.2 times. This robust demand allowed Burjeel Holdings to tighten the initial pricing from the mid-7 percent range, culminating in a Sukuk priced at a 7.000 percent profit rate and a yield of 7.125 percent. This marks the lowest 5-year yield achieved by a GCC-based private non-investment grade corporate issuer since 2020.
The final allocation of the Sukuk was well-distributed geographically, with international investors accounting for 61 percent. This included investors from the United Kingdom (34 percent), US Offshore (24 percent), and other international markets (3 percent), alongside a strong regional presence from the GCC (39 percent). This widespread participation underscores the strong investor interest in Burjeel's debut Sukuk and highlights the robustness of the UAE's capital markets platform.
The Sukuk received ratings of BB+ from S and P Global Ratings and Ba2 from Moody's Ratings, underscoring the positive momentum within regional debt capital markets and the sustained global institutional demand for high-quality issuers from the UAE and GCC.
Proceeds from the offering are expected to align with the offering documents, including refinancing existing debt and supporting the Group's strategic priorities. This transaction enhances Burjeel's financial flexibility, diversifies its funding sources, and fortifies its long-term capital structure.
Dr. Shamsheer Vayalil, Chairman and CEO of Burjeel Holdings, commented on the strong demand for the Sukuk, noting that it reflects investor confidence in the company's strategy, credit fundamentals, and ability to maintain sustainable growth. The majority of demand stemming from international investors demonstrates the global appeal of Burjeel's credit story and expands its access to international capital markets, contributing positively to the UAE and regional debt capital markets.
The Sukuk is slated for listing on July 1, 2026, and will be admitted to trading on the International Securities Market of the London Stock Exchange, pending customary closing conditions.
Citibank, Emirates NBD Capital, and First Abu Dhabi Bank served as Joint Global Coordinators, while Emirates NBD Capital and First Abu Dhabi Bank also acted as Sukuk Structuring Agents. Abu Dhabi Commercial Bank, Abu Dhabi Islamic Bank, Dubai Islamic Bank, RAKBANK, and Sharjah Islamic Bank participated as Joint Lead Managers and Bookrunners.