Dukhan Bank is preparing to tap international debt markets with a planned $500 million Additional Tier 1 (AT1) sukuk, launching a series of investor meetings as it gauges demand for the capital-raising exercise.
The Qatari Islamic lender, which holds an A2 rating with a stable outlook from Moody’s and an A rating on negative watch from Fitch, has appointed a syndicate of regional and international banks to manage the transaction.
The banking group has mandated Abu Dhabi Commercial Bank, Emirates NBD Capital, HSBC, Mashreq, Qatar Islamic Bank, Qatar International Islamic Bank, QNB Capital, Standard Chartered Bank, The First Investor and Warba Bank to act as joint lead managers and joint bookrunners.
The proposed issuance will take the form of perpetual, non-call 5.5-year resettable AT1 capital certificates structured under Regulation S. The sukuk is expected to be listed on the International Securities Market of the London Stock Exchange.
The transaction size has been set at $500 million and is not expected to be upsized. Market participants will be closely watching investor appetite as Gulf lenders continue to access capital markets to strengthen regulatory capital buffers and support future growth plans.
The offering remains subject to market conditions, with pricing and final terms likely to emerge following the investor engagement process.
