In a landmark move that underscores its growing stature in global capital markets, UAE-based real estate developer Binghatti Holding has successfully priced a $500 million five-year Senior Unsecured Sukuk, attracting overwhelming demand from regional and international investors.
The sukuk, issued under Binghatti’s $1.5 billion Trust Certificate Issuance Program, was oversubscribed five times, receiving orders exceeding $2.5 billion — a clear signal of investor confidence in the developer’s financial strength and strategic direction.
The Regulation S sukuk was priced at a profit rate of 8.125%, representing a spread of 418 basis points over the current five-year US Treasury yield. High investor interest allowed final pricing to tighten significantly from initial guidance near 8.50%.
The sukuk will be dual-listed on Nasdaq Dubai and the London Stock Exchange, cementing Binghatti’s growing global capital market presence.
Investor Confidence on the Rise
The overwhelming investor interest reflects strong confidence in Binghatti’s creditworthiness and vertically integrated business model. The company currently holds a Ba3 rating from Moody’s and BB- from Fitch, both with a stable outlook.
Muhammad Binghatti, Chairman of Binghatti Holding, remarked:
“This 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 investor demand for our $500 million issuance validates our unique business model and phenomenal growth.”
Ahmed Abdelaal, CEO of Mashreq Group — the lead arranger of the issuance — commented:
“We are proud to support Binghatti in this landmark return to the sukuk market. The strong appetite — both regional and global — reflects continued confidence in the Dubai growth story and Binghatti’s long-term vision.”
Record-Breaking Financial Performance in H1 2025
Binghatti’s first half of 2025 has been marked by explosive growth and robust financial results:
- Net profit surged more than threefold to AED 1.82 billion, driven by strong demand in Dubai’s booming real estate market.
- Revenue soared 189% year-over-year to AED 6.3 billion.
- Total sales reached AED 8.8 billion in just six months.
- The company launched seven new projects and delivered five developments in H1 alone.
- Over the past 18 months, 15 projects have been successfully handed over.
- Revenue backlog now 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 prime Dubai locations including Downtown Dubai, Business Bay, JVC, and Meydan. The company is also renowned for its branded residences in collaboration with global luxury icons like Bugatti, Mercedes-Benz, and Jacob & Co.
Strategic Expansion into Master-Planned Communities
Further showcasing its long-term vision, Binghatti recently acquired a 9 million square foot megaplot in Nad Al Sheba 1, where it plans to develop its first master-planned community. The project is expected to exceed AED 25 billion in development value, and highlights Binghatti’s ambition to shape Dubai’s real estate future.
Outlook
The successful sukuk issuance, paired with Binghatti’s remarkable H1 performance, signals a company in transformation — evolving into a top-tier global developer with institutional backing and growing international reach.
With strong investor trust, bold expansion plans, and record-setting financial growth, Binghatti Holding is not only raising capital — it is raising the bar for real estate development across the region.
