Abu Dhabi Islamic Bank (ADIB) has announced the successful raising of $750 million through the issuance of the world’s first dollar-denominated additional tier-one (AT1) perpetual sukuk since March 2023.
The sukuk, with a perpetual non-call period of five and a half years, was priced at a profit rate of 7.25% per annum, payable semi-annually. It will be listed and traded on the London Stock Exchange.
The issuance received strong demand, attracting interest from more than 240 global and regional investors. The final order exceeded $7 billion, making it more than 9 times oversubscribed. The final pricing was 62.5 basis points tighter than the initial pricing thoughts. The reset spread stands at 306 basis points over US treasury yields, which is 121 basis points lower than ADIB’s previous AT1 sukuk issued in 2018.
