Dentons, a major legal company, has advised leading Sharjah developer Arada on a $150 million tap issuance of $400 million sukuk due 2029. The tap issuance was completed early this month.

 

Dentons also advised on the related original issuance in June and its 2024 establishment of Arada's $1 billion Trust Certificate Issuance Programme.

 

The tap issuance increased the overall amount of sukuk outstanding (at $550 million) to above benchmark size. The sukuk was priced at $102.54 with a yield of 7.35% per annum (a 15 basis points tightening from initial pricing thoughts), said Dentons in a statement. 

 

Excluding demand from joint lead managers, the subscription order book for the tap issuance reached more than $480 million, making it 3.2 times oversubscribed.

 

The issuance is rated B1 by Moody's and BB- by Fitch. It was listed on the London Stock Exchange's International Securities Market and on Nasdaq Dubai, and was offered to sophisticated investors outside the US in reliance on Regulation S under the US Securities Act 1933.

 

The Dentons team in Dubai was led by partner Alex Roussos, with assistance from senior legal consultant Katie Phillips and senior associate James Osun-Sanmi.