Clearance given for $3.5b sukuk by Aldar shareholders
Shareholders of Aldar Properties recently authorized their board of directors to decide on the terms and conditions and timing of the jumbo debt instrument, giving approval to launch up to $3.5 billion sukuk or debentures in the course of three to five years.
"The sharesholders adopted the resolution giving a go ahead to the convertible bond programme the company intends to issue," said Shafqat Ali Malik, Chief Financial Officer of Aldar Properties, according to Khaleej Times.
At a recent general meeting of the real estate developer chaired by Ahmed Ali Al Sayegh, Malik stated that the exact size of the Islamic commercial paper sukuk/debenture would be decided according to the market appetite and pricing, but the company intends to raise up to $3.5 billion to meet its growing financial needs including mega real developments announced recently.
Malik added that details of the sukuk or debentures are not final as yet, as there are various options which could be taken advantage of, according to the market situation.