UAE ministry lists second five-year Sovereign Retail T-Sukuk on Nasdaq Dubai
In short
The UAE Ministry of Finance announced the listing and start of secondary-market trading for its second five-year Sovereign Retail T-Sukuk on Nasdaq Dubai on Friday. Subscription orders reached AED285 million, about 5.7 times the AED50 million target issuance size, the ministry said. Retail investors subscribing for AED10,000 or less made up 75 percent of applications, and UAE nationals accounted for 69 percent of demand.
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The Ministry of Finance announced on Friday the official listing and commencement of secondary-market trading for its second five-year Sovereign Retail T-Sukuk on Nasdaq Dubai, following the completion of subscription, allocation and settlement. With trading now active on the exchange, the ministry said investors gain full portfolio flexibility, allowing them to expand their holdings or exit early by selling. Aletihad published the same text, credited to WAM, and the two accounts agree on all figures. [ 1 , 2 ]
The offering drew subscription orders of AED285 million, approximately 5.7 times the target issuance size of AED50 million. The ministry said retail investors subscribing for AED10,000 or less made up 75 percent of all subscription applications, while UAE nationals represented 69 percent of overall demand, and the offer attracted interest across 110 nationalities. Women accounted for 17 percent of total invested capital, and the ministry said investors under 25 also showed strong engagement without giving a figure. Nearly half of the unique subscribers were returning investors from the inaugural tranche. [ 1 , 2 ]
Mohamed bin Hadi Al Hussaini, Minister of State for Financial Affairs, said the start of trading for the second issuance marks another strategic milestone in deepening the UAE's domestic AED-denominated capital markets and reaffirmed the ministry's commitment to sovereign investment instruments that pair security with attractive returns. He said continued strong demand from individual investors reflects confidence, according to the announcement. The ministry described the second tranche as building on the success of the first and as an effort to broaden investment participation in the national economy and provide government-backed savings options that encourage long-term financial planning. [ 1 , 2 ]
Why it matters
The ministry describes the second tranche as a step in broadening investment participation in the national economy and deepening the UAE's domestic AED-denominated capital markets. Because the sukuk now trades on Nasdaq Dubai, holders can add to their position or exit early by selling on the exchange rather than holding to maturity. Nearly half of the unique subscribers had also bought the first tranche, the ministry said.
Key facts
- The Ministry of Finance announced the official listing and start of secondary-market trading for its second five-year Sovereign Retail T-Sukuk on Nasdaq Dubai on Friday. [ 1 , 2 ]
- Subscription orders reached AED285 million, about 5.7 times the target issuance size of AED50 million. [ 1 , 2 ]
- Retail investors subscribing for AED10,000 or less accounted for 75 percent of all subscription applications. [ 1 , 2 ]
- UAE nationals represented 69 percent of overall demand, and the offering drew interest across 110 nationalities. [ 1 , 2 ]
- Women accounted for 17 percent of total invested capital, and the ministry said young investors under 25 also showed strong engagement. [ 1 , 2 ]
- Nearly half of the unique subscribers were returning investors from the inaugural tranche, the ministry said. [ 1 , 2 ]
- Minister of State for Financial Affairs Mohamed bin Hadi Al Hussaini said the listing marks a milestone in deepening the UAE's domestic AED-denominated capital markets. [ 1 , 2 ]
Confirmed by several sources
- The second five-year Sovereign Retail T-Sukuk was listed on Nasdaq Dubai and secondary-market trading began after subscription, allocation and settlement were completed. [ 1 , 2 ]
- Subscription orders totalled AED285 million, approximately 5.7 times the AED50 million target issuance size. [ 1 , 2 ]
- Applicants subscribing for AED10,000 or less made up 75 percent of subscription applications, and UAE nationals were 69 percent of overall demand. [ 1 , 2 ]
- The offering attracted subscribers across 110 nationalities, and women accounted for 17 percent of total invested capital. [ 1 , 2 ]
Still unclear
- The documents do not state the sukuk's return or profit rate, or its pricing terms. The ministry's announcement and the Aletihad report give the tenor, size and demand figures but no yield or profit rate.
- The dates of the subscription, allocation and settlement phases are not given, only that they were completed. Both documents refer to completion of the process without specifying when it took place.
- The scale of participation by investors under 25 is not quantified. Both documents say young investors showed strong engagement but give no figure, unlike the data provided for other investor groups.