DIB plans to issue US dollar AT1 Sukuk

SectorFinancial Markets

Dubai – Mubasher: The ordinary general meeting (OGM) of Dubai Islamic Bank (DIB) plans to issue the US dollar-denominated Additional Tier 1 (AT1) Sukuk within this week, two sources told Reuters. AT1 bonds, which are the riskiest debt instruments banks can sell, are perpetual in nature; however, issuers can call them after a specified period. It is noteworthy to mention that in November 2020, the bank successfully closed a perpetual non-call 5.5 years Additional Tier 1 Sukuk worth $1 billion, with a profit rate of 4.625% per year.  ...read more...