Significant Global Demand for Sukuk Offering
Burjeel Holdings has successfully launched a $500 million healthcare sukuk, marking the first such offering in the MENA region since 2018. Priced with a 7.000% profit rate, the sukuk attracted significant interest and was 3.2 times oversubscribed. This issuance is part of Burjeel’s newly established $1.5 billion Senior Unsecured Sukuk Programme.
Peaking at $1.6 billion, the orderbook allowed the group to adjust pricing from initial expectations in the mid-7% range. A final yield of 7.125% was achieved, the lowest for a GCC-based private non-investment grade corporate issuer since 2020. Strong demand enabled Burjeel to tighten the pricing, highlighting investor confidence.
International investors accounted for 61% of the allocation. Notable participation came from the UK and US Offshore investors at 34% and 24% respectively. Meanwhile, GCC investors comprised 39% of the total, demonstrating strong regional support. This distribution underscores global confidence in Burjeel and the UAE’s capital markets.
Strategic Use of Sukuk Proceeds
Proceeds from the sukuk are earmarked for refinancing existing debt and supporting Burjeel’s strategic priorities. Investments in clinical care, research, medical education, and AI-driven healthcare innovations are planned. The net proceeds will enhance Burjeel’s financial flexibility and strengthen its long-term capital structure.
Dr. Shamsheer Vayalil, Chairman and CEO of Burjeel Holdings, remarked, “The strong demand for our inaugural Sukuk reflects investor recognition of Burjeel’s strategy, credit fundamentals, and ability to deliver sustainable growth.” With strong international participation, this transaction broadens Burjeel’s access to global capital markets.
Citi, Emirates NBD Capital, and FAB served as Joint Global Coordinators. Emirates NBD Capital and FAB also acted as Sukuk Structuring Agents. ADCB, ADIB, Dubai Islamic Bank, RAKBANK, and Sharjah Islamic Bank took roles as Joint Lead Managers and Bookrunners. The sukuk is listed on the London Stock Exchange’s International Securities Market, subject to customary closing conditions.
Rated BB+ by S&P Global Ratings and Ba2 by Moody’s Ratings, the transaction marks the first Sukuk offering from a MENA healthcare provider since 2018. It also represents the first UAE corporate offering following recent regional developments. Founded in 2007, Burjeel Holdings is a leading super-specialty healthcare services provider in the UAE and Oman, with a growing presence in Saudi Arabia.
Last updated: 29 June 2026, 11:46 am
