UAE-based real estate developer Binghatti Holding has successfully priced a $500 million five-year Senior Unsecured Sukuk under its $1.5 billion Trust Certificate Issuance Program, marking a significant milestone for the company.
The issuance was oversubscribed five times, attracting orders of over $2.5 billion from a broad base of regional and international investors.
The Regulation S sukuk was priced at a profit rate of 8.125 percent, representing a spread of 418 basis points over the current five-year US Treasury yield. Due to high investor demand, the final pricing tightened significantly from initial guidance in the 8.500 percent area.
The strong order book underscores growing investor confidence in Binghatti’s credit fundamentals, vertically integrated business model, and long-term strategic direction. The developer holds a Ba3 rating from Moody’s and BB- from Fitch, both with stable outlooks.
The sukuk will be dual-listed on Nasdaq Dubai and the London Stock Exchange, further reinforcing Binghatti’s global capital market credentials.
Read: Binghatti Holding sees record AED 1.82 billion profit in first half of 2025
Executive commentaries
Muhammad Binghatti, chairman of Binghatti Holding, commented: “Binghatti’s landmark sukuk marks a pivotal milestone in our journey, reinforcing our position as one of the region’s most dynamic and diversified developers. The strong demand and investor trust shown in the $500 million issue from our sukuk program highlights Binghatti’s unique model, a vertically integrated platform underpinned by phenomenal growth and market leading execution.”
Ahmed Abdelaal, Mashreq Group CEO said: “We are proud to have played a pivotal role in Binghatti’s return to the sukuk market, having supported their journey since their inaugural issuance last year. The exceptional investor response —both regional and international —underscores the strong appetite for the Dubai growth story and confidence in Binghatti’s trajectory.
“This landmark issuance not only affirms their access to global capital markets but also establishes a new 5-year benchmark for the sector. Mashreq continues to lead in advising regional corporates on accessing international capital markets from inception. Our partnership with Binghatti reflects the trust placed in our expertise and capabilities.”
Record-breaking financial and operational growth
Binghatti Holding’s performance in the first half of 2025 has been nothing short of remarkable:
- Net profit more than tripled to AED 1.82 billion, driven by sustained demand in Dubai’s property market.
- Total sales reached AED 8.8 billion, while revenue surged 189 percent YoY to AED 6.3 billion.
- The group launched seven new projects and delivered five developments in H1 alone. Over the past 18 months, Binghatti has handed over 15 projects.
- Its revenue backlog stands at AED 12.5 billion, with an active development portfolio exceeding AED 70 billion.
Currently, Binghatti is developing approximately 20,000 units across 30 projects in key Dubai areas such as Downtown Dubai, Business Bay, Jumeirah Village Circle, and Meydan. The company is also known for its branded real estate collaborations with global luxury names Bugatti, Mercedes-Benz, and Jacob & Co.
Expansion into master-planned communities
Binghatti’s long-term vision was further demonstrated by its recent acquisition of a 9 million square feet megaplot in Nad Al Sheba 1, which will house the company’s first master-planned community. The project is expected to have a development value exceeding AED 25 billion, reinforcing Binghatti’s ambitions to shape the future of Dubai’s real estate landscape.
The landmark sukuk issuance, combined with Binghatti’s stellar H1 performance and aggressive expansion, signals its transformation into a top-tier developer with growing global reach and institutional investor backing.
