A major milestone has been reached by UAE-based real estate developer Binghatti Holding, which has priced a $500 million five-year Senior Unsecured Sukuk under its $1.5 billion Trust Certificate Issuance Program.
A wide range of domestic and foreign investors placed orders totaling more than $2.5 billion, and the offering was oversubscribed five times.
At a profit rate of 8.125 percent, the Regulation S sukuk was priced 418 basis points over the current yield on the US Treasury’s five-year bond. The final pricing was much tighter than the first estimate in the 8.500 percent range because to strong investor demand.
Growing investor confidence in Binghatti’s credit fundamentals, vertically integrated business model, and long-term strategic orientation is demonstrated by the company’s robust order book. The developer has stable outlooks and a Ba3 rating from Moody’s and a BB- from Fitch.
The sukuk will be listed on both the London Stock Exchange and Nasdaq Dubai, enhancing Binghatti’s reputation in the global financial market.
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
The performance of Binghatti Holding in the first half of 2025 has been outstanding:
AED 1.82 billion was the net profit, which more than tripled due to the ongoing demand in Dubai’s real estate market.
Revenue increased 189 percent year over year to AED 6.3 billion, while total sales reached AED 8.8 billion.
In just H1, the group delivered five developments and started seven additional projects. Binghatti has completed 15 projects in the last 18 months.
Its active development portfolio exceeds AED 70 billion, and its revenue backlog is AED 12.5 billion.
Currently, Binghatti is developing nearly 20,000 apartments across 30 projects in key areas of Dubai, including Meydan, Business Bay, Downtown Dubai, and Jumeirah Village Circle. The business is particularly well-known for its branded real estate partnerships with international luxury brands including Mercedes-Benz, Bugatti, and Jacob & Co.
Expansion into master-planned communities
The recent purchase of a 9 million square foot megaplot in Nad Al Sheba 1, which will contain the company’s first master-planned community, further exemplified Binghatti’s long-term goal. The project’s anticipated development value of more than AED 25 billion will support Binghatti’s aspirations to influence Dubai’s real estate market going forward.
The historic sukuk issuance, along with Binghatti’s impressive H1 results and rapid growth, marks the company’s transition into a premier developer with institutional investor support and an expanding global footprint.