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

Dubai, UAE. Photo by David Rodrigo on Unsplash

Damac Properties Dubai Co. hired banks including Barclays Plc and HSBC Bank Plc for a possible sale of U.S. 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 U.S. President Donald Trump’s family company, in February reported full-year net income that missed the lowest analyst estimate. Hussein Sajwani, who owns 72 percent of Damac, said in January that he was open to selling as much as 15 percent 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 $22.8 billion so far this year, the second-best first quarter in at least 12 years, Bloomberg data show.

A senior official at Damac in February said that the company was also considering repaying part of its 450 million-dirham ($123 million) debt ahead of time to avoid a “lumpy” maturity in 2019. Damac last raised $500 million via sukuk at 6.25 percent in April. The debt sale was arranged by Bank of America Merrill Lynch, Emirates NBD Capital, HSBC and VTB Capital.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.