05.11.2012 - ADIB tests hybrid sukuk demand
As Abu Dhabi Islamic Bank undertakes a roadshow for its innovative Sharia-compliant hybrid Tier 1 non-call six perpetual notes issue, the great unknown is the extent to which conservative, traditional sukuk investors will buy the securities. In a market in which extending tenor on a vanilla sukuk issue to beyond the typical five years is seen as a big development, this is a bank capital offering designed to comply with the Basel committee’s criteria for additional Tier 1 capital in anticipation of possible Basel III implementation in the UAE. Terms such as “hybrid” and “perpetual” will be unfamiliar and foreign to many accounts...............................................Full Article: Source
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