Dubai’s Damac said to hire Barclays, HSBC for sukuk

By BLOOMBERG

DUBAI • Damac Properties Dubai Co hired banks including Barclays plc and HSBC Bank plc for a possible sale of US dollar-denominated Islamic bonds, according to people familiar with the matter.

The second-largest listed real estate developer in Dubai is expected to hire more banks to arrange the debt sale, which may happen as soon as this month, said the people, who asked not to be identified as the matter is private. A spokesman at Damac declined to comment.

The developer, which has two golf-course development deals with US President Donald Trump’s family company, in February reported full-year net income that missed the lowest analyst est imate. Hussein Sajwani, who owns 72% of Damac, said in January that he was open to selling as much as 15% of his majority stake in the company.

Damac is the latest company in the Middle East looking to tap the bond market amid a busy start to a year for debt sales. Besides sovereigns like Saudi Arabia and Qatar, Sharjah Islamic Bank, Oman Telecommunications Co and Noor Bank PJSC are among those waiting to access capital in the next few weeks, people familiar with the matter have said.

Issuance from the six-nation Gulf Cooperation Council climbed to US$22.8 billion (RM88.08 billion) so far this year, the second-best first quarter in at least 12 years, Bloomberg data show.

Damac last raised US$500 million via sukuk at 6.25% in April.