Al Hilal Bank acquired a Private Placement funding worth USD 225 Million under its existing Trust Certificate Issuance Program of USD 2.5 Billion. This is the second tranche under the program. The first funding secured was worth USD 500 Million for five years, and was issued back in 2013.


Al Hilal Bank, PJSC (A1/-/A+) is the only full-fledged Islamic Bank that is wholly owned by the Government of Abu Dhabi through Abu Dhabi Investment Council.  It priced a 2.5-year (January 2019) US$225MM RegS floating rate note Sukuk at 3mL+160bps under its  USD2.5 billion existing Trust Certificate Issuance Program on 31st May. 

This swiftly executed trade comprising a few pre-identified investors, marks the first Islamic Private Placement Sukuk issued by a UAE Financial Institution.  This hallmark development also marks the return to senior unsecured dollar Sukuk market since 2013 by any entities out of Abu Dhabi, thus, presents a unique proposition to the investors’ fraternity. 

Speaking about the milestone, Mr. Khaled Abdulla Alkhoori, CEO, Al Hilal Bank, explained, “We are very pleased to announce this first Islamic private placement in the UAE. Al Hilal bank strategy is to diversify its funding base and tenors.  We aim to work towards raising funding for medium term to enhance our funding profile and meet balance sheet growth targets.”


About Al Hilal Bank

Al Hilal Bank was founded in 2008 by the Abu Dhabi Investment Council, an investment arm of the Abu Dhabi Government, with the mission of delivering innovative and fresh banking services adhering to core Islamic values with an authorized capital of AED 4 billion. Six months after formally opening its first four branches, the bank was granted the ‘Best Customer Experience’ award at the 2008 Middle East Retail Banking Awards. Al Hilal Bank’s vision is to constantly redefine and set new standards in the Islamic banking sector. Al Hilal Bank now ranks 10th in a highly competitive UAE market shared with nearly 60 other banks and are the first Islamic bank to operate in Kazakhstan.


Source: Viola.Public Relations