âAl Arabi GCC SukukâMid-Month Report - SLIDEBLAST.COM
“Al Arabi GCC Sukuk”Mid-Month Report
Main News:
No. of Issue: 42
Date: 15/06/2016
Bonds, Sukuk market in Oman grows 53.75 per cent The bonds and Sukuk market in Oman grew by 53.75 per cent to reach RO 1.869 billion ($4.86 billion) in 2015 from RO 1.216 billion ($3.162 billion) in 2014. This was revealed by Abdullah bin Salem al Salmi, Executive President of the Capital Market Authority (CMA) on the sidelines of the launch of Oman Chapter of the Dubai-based Gulf Bond and Sukuk Association (GBSA) here....…..Source: Oman Observer Qatar takes conventional over sukuk route with $9 billion issuance Qatar has issued $9 billion worth of sovereign bonds across three maturities, selling $3.5 billion in fiveyear and 10-year issuances and a $2 billion 30-year issuance, according to a report by Bloomberg. The deal follows a $5 billion Eurobond from Abu Dhabi last month which attracted an order book of $17 billion, with considerable demand coming from outside the region…….Source: Sukuk.com Sohar Islamic signs financing deal with Gulf Muscat United Sohar Islamic, Bank Sohar's Islamic banking window, recently signed a memorandum of understanding (MoU) with Gulf Muscat United to provide preferential Sharia-compliant financing solutions to buyers purchasing office units in the new smart office 'iTower' complex currently under development in Bausher, Muscat.…….Source: Times of Oman Takaful model needs restructuring The Takaful (Islamic insurance) model in the Sultanate, which currently accounts for less than 10 per cent of market share, needs to be suitably "restructured and realigned" to help drive the growth of this promising industry, says a newly released report on the outlook for Oman's sharia-compliant financial services. Titled, 'Islamic Finance in Oman: IFN Report 2016' …..Source: Reuters Omani mining JV plans to raise Islamic finance Australian mining group Alara Resources is planning to raise Islamic finance to fund its joint venture Al Hadeetha copper-gold project in Oman. Al Hadeetha Resources is a 70-30 joint venture between Australian mining group Alara Resources and Oman's Al Hadeetha Investment Services. The JV is working to set up a copper-gold project at Washihi, south-east of Muscat………Source: Zawya Overcoming Takaful's challenges In an industry expected to reach a value of AED 52 billion by 2020, Takaful companies in Dubai and beyond have a lot to address, writes Abdulla Mohammed Al Awar, CEO of Dubai Islamic Economy Development Centre (DIEDC) In an industry expected to reach a value of AED 52 billion by 2020, Takaful companies in Dubai and beyond have a lot to address, writes Abdulla Mohammed Al Awar, CEO of Dubai Islamic Economy Development Centre (DIEDC) ....……..Source: Reuters China Turns To Islamic Finance To Drive Economic Initiative In 2013, Chinese President Xi Jinping unveiled the Silk Road Economic Belt and the 21st-century Maritime Silk Road initiative now known as One Belt One Road, (OBOR) in order to actively develop connectivity and economic cooperation with countries mainly between China & Eurasia...Source: Zawya Sukuk market to witness better activity in Oman Several Omani private firms are keen to raise funds by way of sukuk after Mohammed Al Barwani Holding received approval for a OMR58 million-issue. The companies interested in issuing sukuk can avail tax concession if the special purpose vehicle for sukuk issue is registered in Oman and the issue is floated in the local market. Mohammed Al Barwani Holding's sukuk issue opened subscription on Monday either in Omani rial or dollar……..Source: Islamic Finance
1
Performance of Al Arabi GCC50, BGCC200, S&P S.Index & DJ Sukuk - Weekly Change
3.00% 2.00% 1.00% 0.00% 5/15/2016
5/20/2016
5/25/2016
5/30/2016
6/4/2016
6/9/2016
6/14/2016
-1.00% -2.00% -3.00%
Dow Jones Sukuk Index
S&P Mena Sukuk
BGCC200 index
Al Arabi GCC 50 Index
Source: OABInvest, Bloomberg
Upcoming Sukuk Maturities Issuer BAHRAIN LEASING SUKUK SBG SUKUK LIMITED BAHRAIN LEASING SUKUK ALMANA SUKUK 2011 LTD
Maturity Date 6/16/2016 6/23/2016 7/14/2016 7/28/2016
Offer Coupon Type FIXED ZERO COUPON FIXED FLOATING
Currency BHD SAR BHD USD
Offer Coupon Rate 1.80% 0.00% 2.00% 5.13%
Bid Price
Bid Offer Offer Rating Yield % Price Yield % (Moody's) 100.11 4.11 100.37 1.90 -
Source: OABInvest
Source: OABInvest, Bloomberg
Sukuk Indices Vs. Al Arabi indices & Bloomberg Indices
Current Close
Previous Close
15 June 2016 Index
15 May 2016 Index
Change Change
MTD
YTD
%
%
%
Dow Jones Sukuk Index S&P Mena Sukuk
101.23 111.07
101.86 111.47
(0.63) (0.40)
(0.62) (0.36)
(0.03) 0.02
1.37 2.38
Al Arabi Oman 20 Index
1,042.43
1,085.95
(43.52)
(4.01)
(0.97)
1.31
Al Arabi GCC 50 Index
1,076.97
1,075.41
1.56
0.15
3.79
0.99
Al Arabi MENA 200 Index
945.73
952.78
(7.05)
(0.74)
2.73
(0.79)
Bloomberg GCC 200 Index
60.68
61.40
(0.72)
(1.17)
3.04
(2.54)
Source: OABInvest, Bloomberg. GCC 50, M ENA 200 and BGCC 200 Indices are updated till 2:00 PM -M uscat Time
SUKUK Trading Summary – 1 Month Top Gainers
Price
Chg
Top Losers
Price
Companies
RO
DAR AL-ARKAN SUKUK CO LT
96.440
3.43
DAR AL-ARKAN SUKUK CO LT NATIONAL BK OF ABU DHABI
95.382 100.177
1.31 1.09
Chg
%
Companies
RO
SAUDI ELECTRICITY GLOBAL 1
91.026
-5.59
DUBAI DOF SUKUK LTD SAUDI ELECTRICITY GLOBAL 2
105.419 98.890
-2.31 -1.33
%
Source: OABInvest, Bloomberg
2
GCC Sukuk Issue by Quarterly Size in Mn$ 2016 2015 2014 2013 2012
2011 Q1
2010
0
10,000
20,000
Q2
30,000
Q3
Q4
40,000
50,000
Source: OABInvest, Bloomberg
Millions
GCC Sukuk Issue by Types 2010-2016
GCC Sukuk Issue by Types Q1-2016 Mn$
Sukuk Al Istisna'a
Mn$
Sukuk Al Ijara
Sukuk/Islamic Sukuk Al Murabaha Sukuk Al-Wakala Bel-Istithma Sukuk Al Musharakah
Sukuk Al Ijara
Sukuk Al Mudarabah Millions
Sukuk/Islamic
0
20,000
40,000
60,000
0
100
200
300
400
500
600
Source: OABInvest, Bloomberg
Millions
GCC Sukuk Issue by Sector Q1-2016
GCC Sukuk Issue by Sector 2010-2016 Diversified
MN
Mn$
Energy Industrial Consumer, Non-cyclical Government
Basic Materials Government Consumer, Cyclical
Utilities Financial
0 5,000 10,000 15,000 20,000 25,000 30,000 35,000 40,000 45,000 50,000 55,000 60,000 65,000 Source: OABInvest, Bloomberg Millions
0
100
200
300
400
500
600
700
800 Millions
GCC Sukuk Issue by Country Q1-2016
GCC Sukuk Issue by Country 2010-2016
Mn$
Mn$
Kuwait
Bahrain
Bahrain
Qatar
United Arab Emirates
United Arab Emirates
Saudi Arabia
0
20,000
40,000
Source: OABInvest, Bloomberg
60,000
80,000
100,000
120,000 Millions
0
100
200
300
400
500
600 Millions
3
GCC Sukuk prices and yield - Sorted by Offer Coupon Rate Maturity Offer Coupon Issuer Date Type ANKA A SUKUK LTD DANA GAS SUKUK LTD DANA GAS SUKUK LTD EMAAR SUKUK LTD JAFZ SUKUK 2019 DANA GAS SUKUK LTD DANA GAS SUKUK LTD DAR AL-ARKAN SUKUK CO LT QATAR GOVT SUKUK DUBAI DOF SUKUK LTD EMAAR SUKUK LTD CBB INTERNATIONAL SUKUK DP WORLD SUKUK LTD DP WORLD SUKUK LTD MAF SUKUK LTD DAR AL-ARKAN SUKUK CO LT DAR AL-ARKAN SUKUK CO LT SAUDI ELEC GLOBAL SUKUK SAUDI ELEC GLOBAL SUKUK BAHRAIN IJARA SUKUK BAHRAIN MUMTALAKAT HLDNG BAHRAIN MUMTALAKAT HLDNG GULF INVESTMENT CORP TAMWEEL FUNDING LTD ALMANA SUKUK 2011 LTD GULF INVESTMENT CORP SAUDI ELECTRICITY GLOBAL SAUDI ELECTRICITY GLOBAL DUBAI DOF SUKUK LTD BAHRAIN IJARA SUKUK GFH SUKUK LTD GFH SUKUK LTD ALPHA STAR HOLDING LTD NATIONAL BK OF ABU DHABI DUBAI DOF SUKUK LTD GULF INVESTMENT CORP DIB SUKUK LTD NATIONAL BK OF ABU DHABI EIB SUKUK LTD TAQA ABU DHABI NATL ENER MAF SUKUK LTD ABHC SUKUK BHD DUBAI DOF WAKALA SUKUK 1 SUKUK FUNDING NO3 LTD BAHRAIN GOV'T BOND DIP SUKUK LTD SAUDI ELECTRICITY GLOBAL EIB SUKUK LTD ADCB ISLAMIC FINANCE CAY FGB SUKUK COMPANY LTD SAUDI ELEC GLOBAL SUKUK SAUDI ELEC GLOBAL SUKUK MUMTALAKAT SUKUK HOLDING MEDJOOL LTD DUBAI DOF SUKUK LTD ALPHA STAR HOLDING II LT SAUDI HOLLANDI BANK SHARJAH SUKUK 2 LTD FGB SUKUK COMPANY LTD
8/25/2016 10/31/2017 10/31/2017 8/3/2016 6/19/2019 10/31/2017 10/31/2017 5/28/2019 6/1/2018 5/2/2022 7/18/2019 11/22/2018 7/2/2017 7/2/2017 2/7/2017 5/24/2018 11/25/2016 4/8/2044 4/8/2044 1/19/2025 10/3/2017 4/30/2018 6/18/2027 1/18/2017 7/28/2016 6/20/2022 4/8/2043 4/8/2043 4/30/2029 7/9/2025 7/26/2018 7/26/2018 4/9/2019 12/28/2020 5/2/2017 8/3/2016 5/30/2017 12/9/2027 1/18/2017 3/3/2022 11/3/2025 12/16/2016 10/25/2016 12/3/2018 7/17/2017 2/20/2019 4/3/2022 1/11/2018 11/22/2016 1/18/2017 4/8/2024 4/8/2024 11/25/2021 3/19/2023 1/30/2023 3/21/2017 12/12/2023 1/27/2021 8/2/2016
FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FLOATING FIXED FIXED FIXED FIXED FIXED FLOATING FLOATING FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FLOATING FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FLOATING FLOATING FIXED FIXED
Currency AED USD USD USD USD USD USD USD QAR USD USD USD USD USD USD USD USD USD USD BHD MYR MYR MYR USD USD MYR USD USD USD BHD USD USD USD MYR USD MYR USD MYR USD MYR USD MYR USD USD BHD USD USD USD USD USD USD USD USD USD USD USD SAR USD USD
Offer Coupon Bid Rate Price 10.00% 9.00% 9.00% 8.50% 7.00% 7.00% 7.00% 6.50% 6.50% 6.45% 6.40% 6.27% 6.25% 6.25% 5.85% 5.75% 5.75% 5.50% 5.50% 5.50% 5.50% 5.35% 5.30% 5.15% 5.13% 5.10% 5.06% 5.06% 5.00% 5.00% 5.00% 5.00% 4.97% 4.90% 4.90% 4.90% 4.75% 4.75% 4.72% 4.65% 4.50% 4.50% 4.39% 4.35% 4.30% 4.29% 4.21% 4.15% 4.07% 4.05% 4.00% 4.00% 4.00% 3.88% 3.88% 3.87% 3.84% 3.84% 3.80%
101.09 89.00 101.01 110.50 86.87 86.49 95.59 115.19 109.63 106.70 104.43 104.80 102.66 94.64 99.76 96.78 96.00 100.53 100.17 100.21 101.61 100.11 100.05 92.15 90.44 104.99 93.75 102.56 102.61 100.13 102.48 99.86 101.51 100.04 102.63 100.15 100.83 103.85 101.99 103.41 102.55 101.74 101.18 102.00 101.50 95.80 100.42 101.20 99.13 104.10 100.26
Bid Yield % 4.00 18.24 0.54 3.30 18.02 18.37 8.21 3.56 3.10 3.38 1.93 1.55 1.64 8.82 6.30 5.73 5.79 5.06 5.24 5.27 2.36 4.11 5.09 5.63 5.76 4.49 7.47 4.27 1.88 3.79 2.11 4.77 2.11 4.64 4.16 4.20 2.13 2.72 3.50 3.55 2.48 0.04 2.01 3.70 3.78 4.89 3.80 3.67 5.08 2.88 1.73
Offer Price 101.51 92.00 101.25 110.50 88.87 89.00 97.29 115.84 109.63 107.48 104.87 104.80 103.01 96.13 100.51 96.78 96.00 100.53 100.17 100.21 102.28 100.37 100.05 92.15 91.61 105.85 93.75 102.99 103.10 100.13 102.97 100.49 102.04 100.48 103.26 100.23 100.95 104.42 102.63 104.13 102.55 101.74 101.71 102.00 101.50 96.77 101.25 101.92 100.25 104.87 100.46
Offer Rating Yield % (Moody's) 1.76 15.59 -1.22 3.30 16.22 16.10 7.54 3.45 3.10 3.06 1.52 1.55 1.11 7.94 4.54 5.73 5.79 5.06 5.24 5.27 1.24 1.90 5.09 5.63 5.67 4.40 7.47 4.17 1.33 3.79 1.59 4.69 1.22 4.55 4.08 4.03 1.79 2.48 3.26 3.42 2.48 0.04 1.11 3.70 3.78 4.68 3.66 3.55 3.57 2.71 0.09
Ba1 Baa3 Ba1 Baa3 Baa3 A2 A2 Baa1 A2 A2 NR Baa1 Baa1 A3 Baa3 A2 Baa1 A1u A2 A2 A2 A3 A2
Source: Bloomberg
4
GCC Sukuk prices and yield - Sorted by Offer Coupon Rate Maturity Offer Coupon Issuer Date Type ADIB SUKUK CO LTD SHARJAH SUKUK LTD SAUDI BRITISH BANK SAUDI INVESTMENT BANK BANQUE SAUDI FRANSI FAWAZ ABDULAZIZ ALHOKAIR SAUDI BRITISH BANK ICD SUKUK CO LTD ICD SUKUK CO LTD OMAN SOVEREIGN SUKUK SAUDI ELECTRICITY GLOBAL SAUDI ELECTRICITY GLOBAL ADVANCED PETROCHEMICAL C SAUDI HOLLANDI BANK RAK CAPITAL ORECO SUKUK LTD ARAB NATIONAL BANK AHB SUKUK CO SADARA BASIC SERVICES CO SOQ SUKUK A Q.S.C NATIONAL INDUSTRIALIZATI NATIONAL PETROCHEMICAL C SAUDI BRITISH BANK RAK CAPITAL POWER & WATER UTILITY CO OOREDOO TAMWEEL LTD SAUDI ELECTRICITY CO DEWA SUKUK 2013 LTD BAHRAIN IJARA SUKUK ALMARAI CO LTD SIB SUKUK CO III LTD BSF SUKUK LIMITED NATIONAL COMMERCIAL BANK DIB SUKUK LTD SAUDI TELECOM CO BANQUE SAUDI FRANSI BANQUE SAUDI FRANSI ALMARAI CO LTD SAVOLA GROUP COMPANY SIB SUKUK CO III LTD ALMARAI CO LTD NOOR SUKUK CO LTD ALMARAI CO LTD QIB SUKUK LTD RIYAD BANK SAUDI ELECTRICITY CO RIYAD BANK QIIB SUKUK FUNDING LTD SAUDI ELECTRICITY GLOBAL NATIONAL SHIPPING CO OF GENERAL AUTHORITY OF CIV QIB SUKUK LTD ARABIAN ARAMCO TOTAL SER BAHRAIN LEASING SUKUK SOQ SUKUK A Q.S.C BAHRAIN LEASING SUKUK QREIC SUKUK LLC BAHRAIN LEASING SUKUK SBG SUKUK LIMITED
11/30/2016 9/17/2024 12/17/2020 6/5/2024 6/18/2024 6/24/2019 5/28/2025 5/21/2020 5/21/2020 11/3/2020 4/8/2023 4/8/2023 11/17/2019 11/26/2019 10/21/2018 6/25/2017 10/7/2025 10/8/2018 12/15/2028 1/18/2023 5/21/2019 6/23/2019 3/28/2017 3/31/2025 5/28/2033 12/3/2018 5/10/2030 3/5/2018 1/8/2018 9/16/2022 4/16/2018 5/22/2017 2/25/2024 6/3/2020 6/9/2024 12/18/2019 12/18/2019 3/31/2020 1/22/2020 3/17/2020 3/7/2019 4/28/2020 3/31/2018 10/27/2020 11/11/2020 1/30/2054 6/24/2025 10/18/2017 4/3/2017 7/30/2022 1/18/2022 10/10/2017 12/20/2025 8/11/2016 1/18/2018 7/14/2016 8/31/2016 6/16/2016 6/23/2016
FIXED FIXED FLOATING FLOATING FLOATING FLOATING FLOATING FIXED FIXED FIXED FIXED FIXED FLOATING FLOATING FIXED FLOATING FLOATING FIXED FLOATING FIXED FLOATING FLOATING FLOATING FIXED FLOATING FIXED FLOATING FIXED FIXED FLOATING FIXED FIXED FLOATING FIXED FLOATING FLOATING FLOATING FLOATING FLOATING FIXED FLOATING FIXED FLOATING FIXED FLOATING FLOATING FLOATING FIXED FIXED FLOATING FIXED FIXED FLOATING FIXED FIXED FIXED FLOATING FIXED ZERO COUPON
Currency USD USD SAR SAR SAR SAR SAR USD USD OMR USD USD SAR SAR USD SAR SAR USD SAR USD SAR SAR SAR USD SAR USD SAR USD BHD SAR USD USD SAR USD SAR SAR SAR SAR SAR USD SAR USD SAR USD SAR SAR SAR USD USD SAR SAR USD SAR BHD USD BHD USD BHD SAR
Offer Coupon Bid Rate Price 3.78% 3.76% 3.70% 3.69% 3.60% 3.60% 3.51% 3.51% 3.51% 3.50% 3.47% 3.47% 3.38% 3.36% 3.30% 3.29% 3.27% 3.27% 3.24% 3.24% 3.24% 3.23% 3.14% 3.09% 3.07% 3.04% 3.01% 3.00% 3.00% 2.99% 2.95% 2.95% 2.93% 2.92% 2.89% 2.87% 2.87% 2.86% 2.85% 2.84% 2.83% 2.79% 2.76% 2.75% 2.74% 2.73% 2.70% 2.69% 2.67% 2.59% 2.50% 2.50% 2.41% 2.14% 2.10% 2.00% 1.87% 1.80% 0.00%
101.01 103.90 100.88 100.88 1.00 98.57 98.66 102.29 102.03 103.58 97.82 101.81 99.00 101.26 100.57 100.70 99.02 99.38 99.19 99.81 100.38 101.03 100.37 100.70 99.80 -
Bid Yield % 1.52 3.22 3.27 3.27 310.09 3.71 3.70 2.29 2.36 2.65 3.38 2.28 3.24 2.25 2.63 2.18 3.19 3.02 3.01 2.80 2.40 1.36 2.22 1.65 2.85 -
Offer Price 101.38 104.66 101.62 101.62 1.00 99.21 99.37 102.95 102.67 104.20 98.61 102.36 99.00 101.77 101.23 101.27 99.68 100.05 99.92 100.48 100.86 101.03 100.87 100.70 100.01 -
Offer Rating Yield % (Moody's) 0.73 3.12 3.07 3.07 310.09 3.60 3.58 2.00 2.08 2.54 3.28 2.05 3.24 1.94 2.26 1.57 3.01 2.83 2.81 2.64 2.03 1.36 1.83 1.65 1.81 -
A2 A3 A2 A2 A1 Aa2 A2 Baa1 A3 A2 A2 Aa2 -
Source: Bloomberg
5
Other News: 12 June 2016 Islamic trade finance body to expand global reach -CEO – Reuters 13 June 2016 Abu Dhabi's Al Hilal Bank raises $225 mln in sukuk placement – Reuters 12 June 2016 Meydan secures Dh1b financing for key projects – Gulf News 10 June 2016 Philippines may join Asian sovereigns testing sukuk market – Reuters 08 June 2016 Saudi housing ministry says to issue sukuk for real estate fund – Reuters 07 June 2016 Faisal Islamic Bank: turnovers rise to $6.5 bln at May-end – Amwal Al Ghad 06 June 2016 Dubai Islamic Bank opens 3.16 bln dirham rights issue - Reuters PO Box 2010, Ruwi, 112, Muscat-Oman. Tel: +968 24754576 Fax: +968 24125125 Web site http://www.oabinvest.com E-Mail: [email protected]
Disclaimer: This report has been prepared by research department in IMG – Oman Arab Bank, and is provided for information purposes only. Under no circumstances is to be used or considered as an offer to sell or solicitation of any offer to buy. While all reasonable care has been taken to ensure that the information contained therein is not untrue or misleading at the time of publication, we make no representation as to its accuracy or completeness and it should not be relied upon as such, and the bank accepts no responsibility whatsoever for any direct or indirect consequential loss arising from any use of this report or its contents. All opinions and estimates included in this document constitute IMG's Research department judgment as of the date of production of this report, and are subject to change without notice. This report may not be reproduced, distributed or published by any recipient for any purpose.
Main News:
No. of Issue: 42
Date: 15/06/2016
Bonds, Sukuk market in Oman grows 53.75 per cent The bonds and Sukuk market in Oman grew by 53.75 per cent to reach RO 1.869 billion ($4.86 billion) in 2015 from RO 1.216 billion ($3.162 billion) in 2014. This was revealed by Abdullah bin Salem al Salmi, Executive President of the Capital Market Authority (CMA) on the sidelines of the launch of Oman Chapter of the Dubai-based Gulf Bond and Sukuk Association (GBSA) here....…..Source: Oman Observer Qatar takes conventional over sukuk route with $9 billion issuance Qatar has issued $9 billion worth of sovereign bonds across three maturities, selling $3.5 billion in fiveyear and 10-year issuances and a $2 billion 30-year issuance, according to a report by Bloomberg. The deal follows a $5 billion Eurobond from Abu Dhabi last month which attracted an order book of $17 billion, with considerable demand coming from outside the region…….Source: Sukuk.com Sohar Islamic signs financing deal with Gulf Muscat United Sohar Islamic, Bank Sohar's Islamic banking window, recently signed a memorandum of understanding (MoU) with Gulf Muscat United to provide preferential Sharia-compliant financing solutions to buyers purchasing office units in the new smart office 'iTower' complex currently under development in Bausher, Muscat.…….Source: Times of Oman Takaful model needs restructuring The Takaful (Islamic insurance) model in the Sultanate, which currently accounts for less than 10 per cent of market share, needs to be suitably "restructured and realigned" to help drive the growth of this promising industry, says a newly released report on the outlook for Oman's sharia-compliant financial services. Titled, 'Islamic Finance in Oman: IFN Report 2016' …..Source: Reuters Omani mining JV plans to raise Islamic finance Australian mining group Alara Resources is planning to raise Islamic finance to fund its joint venture Al Hadeetha copper-gold project in Oman. Al Hadeetha Resources is a 70-30 joint venture between Australian mining group Alara Resources and Oman's Al Hadeetha Investment Services. The JV is working to set up a copper-gold project at Washihi, south-east of Muscat………Source: Zawya Overcoming Takaful's challenges In an industry expected to reach a value of AED 52 billion by 2020, Takaful companies in Dubai and beyond have a lot to address, writes Abdulla Mohammed Al Awar, CEO of Dubai Islamic Economy Development Centre (DIEDC) In an industry expected to reach a value of AED 52 billion by 2020, Takaful companies in Dubai and beyond have a lot to address, writes Abdulla Mohammed Al Awar, CEO of Dubai Islamic Economy Development Centre (DIEDC) ....……..Source: Reuters China Turns To Islamic Finance To Drive Economic Initiative In 2013, Chinese President Xi Jinping unveiled the Silk Road Economic Belt and the 21st-century Maritime Silk Road initiative now known as One Belt One Road, (OBOR) in order to actively develop connectivity and economic cooperation with countries mainly between China & Eurasia...Source: Zawya Sukuk market to witness better activity in Oman Several Omani private firms are keen to raise funds by way of sukuk after Mohammed Al Barwani Holding received approval for a OMR58 million-issue. The companies interested in issuing sukuk can avail tax concession if the special purpose vehicle for sukuk issue is registered in Oman and the issue is floated in the local market. Mohammed Al Barwani Holding's sukuk issue opened subscription on Monday either in Omani rial or dollar……..Source: Islamic Finance
1
Performance of Al Arabi GCC50, BGCC200, S&P S.Index & DJ Sukuk - Weekly Change
3.00% 2.00% 1.00% 0.00% 5/15/2016
5/20/2016
5/25/2016
5/30/2016
6/4/2016
6/9/2016
6/14/2016
-1.00% -2.00% -3.00%
Dow Jones Sukuk Index
S&P Mena Sukuk
BGCC200 index
Al Arabi GCC 50 Index
Source: OABInvest, Bloomberg
Upcoming Sukuk Maturities Issuer BAHRAIN LEASING SUKUK SBG SUKUK LIMITED BAHRAIN LEASING SUKUK ALMANA SUKUK 2011 LTD
Maturity Date 6/16/2016 6/23/2016 7/14/2016 7/28/2016
Offer Coupon Type FIXED ZERO COUPON FIXED FLOATING
Currency BHD SAR BHD USD
Offer Coupon Rate 1.80% 0.00% 2.00% 5.13%
Bid Price
Bid Offer Offer Rating Yield % Price Yield % (Moody's) 100.11 4.11 100.37 1.90 -
Source: OABInvest
Source: OABInvest, Bloomberg
Sukuk Indices Vs. Al Arabi indices & Bloomberg Indices
Current Close
Previous Close
15 June 2016 Index
15 May 2016 Index
Change Change
MTD
YTD
%
%
%
Dow Jones Sukuk Index S&P Mena Sukuk
101.23 111.07
101.86 111.47
(0.63) (0.40)
(0.62) (0.36)
(0.03) 0.02
1.37 2.38
Al Arabi Oman 20 Index
1,042.43
1,085.95
(43.52)
(4.01)
(0.97)
1.31
Al Arabi GCC 50 Index
1,076.97
1,075.41
1.56
0.15
3.79
0.99
Al Arabi MENA 200 Index
945.73
952.78
(7.05)
(0.74)
2.73
(0.79)
Bloomberg GCC 200 Index
60.68
61.40
(0.72)
(1.17)
3.04
(2.54)
Source: OABInvest, Bloomberg. GCC 50, M ENA 200 and BGCC 200 Indices are updated till 2:00 PM -M uscat Time
SUKUK Trading Summary – 1 Month Top Gainers
Price
Chg
Top Losers
Price
Companies
RO
DAR AL-ARKAN SUKUK CO LT
96.440
3.43
DAR AL-ARKAN SUKUK CO LT NATIONAL BK OF ABU DHABI
95.382 100.177
1.31 1.09
Chg
%
Companies
RO
SAUDI ELECTRICITY GLOBAL 1
91.026
-5.59
DUBAI DOF SUKUK LTD SAUDI ELECTRICITY GLOBAL 2
105.419 98.890
-2.31 -1.33
%
Source: OABInvest, Bloomberg
2
GCC Sukuk Issue by Quarterly Size in Mn$ 2016 2015 2014 2013 2012
2011 Q1
2010
0
10,000
20,000
Q2
30,000
Q3
Q4
40,000
50,000
Source: OABInvest, Bloomberg
Millions
GCC Sukuk Issue by Types 2010-2016
GCC Sukuk Issue by Types Q1-2016 Mn$
Sukuk Al Istisna'a
Mn$
Sukuk Al Ijara
Sukuk/Islamic Sukuk Al Murabaha Sukuk Al-Wakala Bel-Istithma Sukuk Al Musharakah
Sukuk Al Ijara
Sukuk Al Mudarabah Millions
Sukuk/Islamic
0
20,000
40,000
60,000
0
100
200
300
400
500
600
Source: OABInvest, Bloomberg
Millions
GCC Sukuk Issue by Sector Q1-2016
GCC Sukuk Issue by Sector 2010-2016 Diversified
MN
Mn$
Energy Industrial Consumer, Non-cyclical Government
Basic Materials Government Consumer, Cyclical
Utilities Financial
0 5,000 10,000 15,000 20,000 25,000 30,000 35,000 40,000 45,000 50,000 55,000 60,000 65,000 Source: OABInvest, Bloomberg Millions
0
100
200
300
400
500
600
700
800 Millions
GCC Sukuk Issue by Country Q1-2016
GCC Sukuk Issue by Country 2010-2016
Mn$
Mn$
Kuwait
Bahrain
Bahrain
Qatar
United Arab Emirates
United Arab Emirates
Saudi Arabia
0
20,000
40,000
Source: OABInvest, Bloomberg
60,000
80,000
100,000
120,000 Millions
0
100
200
300
400
500
600 Millions
3
GCC Sukuk prices and yield - Sorted by Offer Coupon Rate Maturity Offer Coupon Issuer Date Type ANKA A SUKUK LTD DANA GAS SUKUK LTD DANA GAS SUKUK LTD EMAAR SUKUK LTD JAFZ SUKUK 2019 DANA GAS SUKUK LTD DANA GAS SUKUK LTD DAR AL-ARKAN SUKUK CO LT QATAR GOVT SUKUK DUBAI DOF SUKUK LTD EMAAR SUKUK LTD CBB INTERNATIONAL SUKUK DP WORLD SUKUK LTD DP WORLD SUKUK LTD MAF SUKUK LTD DAR AL-ARKAN SUKUK CO LT DAR AL-ARKAN SUKUK CO LT SAUDI ELEC GLOBAL SUKUK SAUDI ELEC GLOBAL SUKUK BAHRAIN IJARA SUKUK BAHRAIN MUMTALAKAT HLDNG BAHRAIN MUMTALAKAT HLDNG GULF INVESTMENT CORP TAMWEEL FUNDING LTD ALMANA SUKUK 2011 LTD GULF INVESTMENT CORP SAUDI ELECTRICITY GLOBAL SAUDI ELECTRICITY GLOBAL DUBAI DOF SUKUK LTD BAHRAIN IJARA SUKUK GFH SUKUK LTD GFH SUKUK LTD ALPHA STAR HOLDING LTD NATIONAL BK OF ABU DHABI DUBAI DOF SUKUK LTD GULF INVESTMENT CORP DIB SUKUK LTD NATIONAL BK OF ABU DHABI EIB SUKUK LTD TAQA ABU DHABI NATL ENER MAF SUKUK LTD ABHC SUKUK BHD DUBAI DOF WAKALA SUKUK 1 SUKUK FUNDING NO3 LTD BAHRAIN GOV'T BOND DIP SUKUK LTD SAUDI ELECTRICITY GLOBAL EIB SUKUK LTD ADCB ISLAMIC FINANCE CAY FGB SUKUK COMPANY LTD SAUDI ELEC GLOBAL SUKUK SAUDI ELEC GLOBAL SUKUK MUMTALAKAT SUKUK HOLDING MEDJOOL LTD DUBAI DOF SUKUK LTD ALPHA STAR HOLDING II LT SAUDI HOLLANDI BANK SHARJAH SUKUK 2 LTD FGB SUKUK COMPANY LTD
8/25/2016 10/31/2017 10/31/2017 8/3/2016 6/19/2019 10/31/2017 10/31/2017 5/28/2019 6/1/2018 5/2/2022 7/18/2019 11/22/2018 7/2/2017 7/2/2017 2/7/2017 5/24/2018 11/25/2016 4/8/2044 4/8/2044 1/19/2025 10/3/2017 4/30/2018 6/18/2027 1/18/2017 7/28/2016 6/20/2022 4/8/2043 4/8/2043 4/30/2029 7/9/2025 7/26/2018 7/26/2018 4/9/2019 12/28/2020 5/2/2017 8/3/2016 5/30/2017 12/9/2027 1/18/2017 3/3/2022 11/3/2025 12/16/2016 10/25/2016 12/3/2018 7/17/2017 2/20/2019 4/3/2022 1/11/2018 11/22/2016 1/18/2017 4/8/2024 4/8/2024 11/25/2021 3/19/2023 1/30/2023 3/21/2017 12/12/2023 1/27/2021 8/2/2016
FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FLOATING FIXED FIXED FIXED FIXED FIXED FLOATING FLOATING FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FLOATING FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FIXED FLOATING FLOATING FIXED FIXED
Currency AED USD USD USD USD USD USD USD QAR USD USD USD USD USD USD USD USD USD USD BHD MYR MYR MYR USD USD MYR USD USD USD BHD USD USD USD MYR USD MYR USD MYR USD MYR USD MYR USD USD BHD USD USD USD USD USD USD USD USD USD USD USD SAR USD USD
Offer Coupon Bid Rate Price 10.00% 9.00% 9.00% 8.50% 7.00% 7.00% 7.00% 6.50% 6.50% 6.45% 6.40% 6.27% 6.25% 6.25% 5.85% 5.75% 5.75% 5.50% 5.50% 5.50% 5.50% 5.35% 5.30% 5.15% 5.13% 5.10% 5.06% 5.06% 5.00% 5.00% 5.00% 5.00% 4.97% 4.90% 4.90% 4.90% 4.75% 4.75% 4.72% 4.65% 4.50% 4.50% 4.39% 4.35% 4.30% 4.29% 4.21% 4.15% 4.07% 4.05% 4.00% 4.00% 4.00% 3.88% 3.88% 3.87% 3.84% 3.84% 3.80%
101.09 89.00 101.01 110.50 86.87 86.49 95.59 115.19 109.63 106.70 104.43 104.80 102.66 94.64 99.76 96.78 96.00 100.53 100.17 100.21 101.61 100.11 100.05 92.15 90.44 104.99 93.75 102.56 102.61 100.13 102.48 99.86 101.51 100.04 102.63 100.15 100.83 103.85 101.99 103.41 102.55 101.74 101.18 102.00 101.50 95.80 100.42 101.20 99.13 104.10 100.26
Bid Yield % 4.00 18.24 0.54 3.30 18.02 18.37 8.21 3.56 3.10 3.38 1.93 1.55 1.64 8.82 6.30 5.73 5.79 5.06 5.24 5.27 2.36 4.11 5.09 5.63 5.76 4.49 7.47 4.27 1.88 3.79 2.11 4.77 2.11 4.64 4.16 4.20 2.13 2.72 3.50 3.55 2.48 0.04 2.01 3.70 3.78 4.89 3.80 3.67 5.08 2.88 1.73
Offer Price 101.51 92.00 101.25 110.50 88.87 89.00 97.29 115.84 109.63 107.48 104.87 104.80 103.01 96.13 100.51 96.78 96.00 100.53 100.17 100.21 102.28 100.37 100.05 92.15 91.61 105.85 93.75 102.99 103.10 100.13 102.97 100.49 102.04 100.48 103.26 100.23 100.95 104.42 102.63 104.13 102.55 101.74 101.71 102.00 101.50 96.77 101.25 101.92 100.25 104.87 100.46
Offer Rating Yield % (Moody's) 1.76 15.59 -1.22 3.30 16.22 16.10 7.54 3.45 3.10 3.06 1.52 1.55 1.11 7.94 4.54 5.73 5.79 5.06 5.24 5.27 1.24 1.90 5.09 5.63 5.67 4.40 7.47 4.17 1.33 3.79 1.59 4.69 1.22 4.55 4.08 4.03 1.79 2.48 3.26 3.42 2.48 0.04 1.11 3.70 3.78 4.68 3.66 3.55 3.57 2.71 0.09
Ba1 Baa3 Ba1 Baa3 Baa3 A2 A2 Baa1 A2 A2 NR Baa1 Baa1 A3 Baa3 A2 Baa1 A1u A2 A2 A2 A3 A2
Source: Bloomberg
4
GCC Sukuk prices and yield - Sorted by Offer Coupon Rate Maturity Offer Coupon Issuer Date Type ADIB SUKUK CO LTD SHARJAH SUKUK LTD SAUDI BRITISH BANK SAUDI INVESTMENT BANK BANQUE SAUDI FRANSI FAWAZ ABDULAZIZ ALHOKAIR SAUDI BRITISH BANK ICD SUKUK CO LTD ICD SUKUK CO LTD OMAN SOVEREIGN SUKUK SAUDI ELECTRICITY GLOBAL SAUDI ELECTRICITY GLOBAL ADVANCED PETROCHEMICAL C SAUDI HOLLANDI BANK RAK CAPITAL ORECO SUKUK LTD ARAB NATIONAL BANK AHB SUKUK CO SADARA BASIC SERVICES CO SOQ SUKUK A Q.S.C NATIONAL INDUSTRIALIZATI NATIONAL PETROCHEMICAL C SAUDI BRITISH BANK RAK CAPITAL POWER & WATER UTILITY CO OOREDOO TAMWEEL LTD SAUDI ELECTRICITY CO DEWA SUKUK 2013 LTD BAHRAIN IJARA SUKUK ALMARAI CO LTD SIB SUKUK CO III LTD BSF SUKUK LIMITED NATIONAL COMMERCIAL BANK DIB SUKUK LTD SAUDI TELECOM CO BANQUE SAUDI FRANSI BANQUE SAUDI FRANSI ALMARAI CO LTD SAVOLA GROUP COMPANY SIB SUKUK CO III LTD ALMARAI CO LTD NOOR SUKUK CO LTD ALMARAI CO LTD QIB SUKUK LTD RIYAD BANK SAUDI ELECTRICITY CO RIYAD BANK QIIB SUKUK FUNDING LTD SAUDI ELECTRICITY GLOBAL NATIONAL SHIPPING CO OF GENERAL AUTHORITY OF CIV QIB SUKUK LTD ARABIAN ARAMCO TOTAL SER BAHRAIN LEASING SUKUK SOQ SUKUK A Q.S.C BAHRAIN LEASING SUKUK QREIC SUKUK LLC BAHRAIN LEASING SUKUK SBG SUKUK LIMITED
11/30/2016 9/17/2024 12/17/2020 6/5/2024 6/18/2024 6/24/2019 5/28/2025 5/21/2020 5/21/2020 11/3/2020 4/8/2023 4/8/2023 11/17/2019 11/26/2019 10/21/2018 6/25/2017 10/7/2025 10/8/2018 12/15/2028 1/18/2023 5/21/2019 6/23/2019 3/28/2017 3/31/2025 5/28/2033 12/3/2018 5/10/2030 3/5/2018 1/8/2018 9/16/2022 4/16/2018 5/22/2017 2/25/2024 6/3/2020 6/9/2024 12/18/2019 12/18/2019 3/31/2020 1/22/2020 3/17/2020 3/7/2019 4/28/2020 3/31/2018 10/27/2020 11/11/2020 1/30/2054 6/24/2025 10/18/2017 4/3/2017 7/30/2022 1/18/2022 10/10/2017 12/20/2025 8/11/2016 1/18/2018 7/14/2016 8/31/2016 6/16/2016 6/23/2016
FIXED FIXED FLOATING FLOATING FLOATING FLOATING FLOATING FIXED FIXED FIXED FIXED FIXED FLOATING FLOATING FIXED FLOATING FLOATING FIXED FLOATING FIXED FLOATING FLOATING FLOATING FIXED FLOATING FIXED FLOATING FIXED FIXED FLOATING FIXED FIXED FLOATING FIXED FLOATING FLOATING FLOATING FLOATING FLOATING FIXED FLOATING FIXED FLOATING FIXED FLOATING FLOATING FLOATING FIXED FIXED FLOATING FIXED FIXED FLOATING FIXED FIXED FIXED FLOATING FIXED ZERO COUPON
Currency USD USD SAR SAR SAR SAR SAR USD USD OMR USD USD SAR SAR USD SAR SAR USD SAR USD SAR SAR SAR USD SAR USD SAR USD BHD SAR USD USD SAR USD SAR SAR SAR SAR SAR USD SAR USD SAR USD SAR SAR SAR USD USD SAR SAR USD SAR BHD USD BHD USD BHD SAR
Offer Coupon Bid Rate Price 3.78% 3.76% 3.70% 3.69% 3.60% 3.60% 3.51% 3.51% 3.51% 3.50% 3.47% 3.47% 3.38% 3.36% 3.30% 3.29% 3.27% 3.27% 3.24% 3.24% 3.24% 3.23% 3.14% 3.09% 3.07% 3.04% 3.01% 3.00% 3.00% 2.99% 2.95% 2.95% 2.93% 2.92% 2.89% 2.87% 2.87% 2.86% 2.85% 2.84% 2.83% 2.79% 2.76% 2.75% 2.74% 2.73% 2.70% 2.69% 2.67% 2.59% 2.50% 2.50% 2.41% 2.14% 2.10% 2.00% 1.87% 1.80% 0.00%
101.01 103.90 100.88 100.88 1.00 98.57 98.66 102.29 102.03 103.58 97.82 101.81 99.00 101.26 100.57 100.70 99.02 99.38 99.19 99.81 100.38 101.03 100.37 100.70 99.80 -
Bid Yield % 1.52 3.22 3.27 3.27 310.09 3.71 3.70 2.29 2.36 2.65 3.38 2.28 3.24 2.25 2.63 2.18 3.19 3.02 3.01 2.80 2.40 1.36 2.22 1.65 2.85 -
Offer Price 101.38 104.66 101.62 101.62 1.00 99.21 99.37 102.95 102.67 104.20 98.61 102.36 99.00 101.77 101.23 101.27 99.68 100.05 99.92 100.48 100.86 101.03 100.87 100.70 100.01 -
Offer Rating Yield % (Moody's) 0.73 3.12 3.07 3.07 310.09 3.60 3.58 2.00 2.08 2.54 3.28 2.05 3.24 1.94 2.26 1.57 3.01 2.83 2.81 2.64 2.03 1.36 1.83 1.65 1.81 -
A2 A3 A2 A2 A1 Aa2 A2 Baa1 A3 A2 A2 Aa2 -
Source: Bloomberg
5
Other News: 12 June 2016 Islamic trade finance body to expand global reach -CEO – Reuters 13 June 2016 Abu Dhabi's Al Hilal Bank raises $225 mln in sukuk placement – Reuters 12 June 2016 Meydan secures Dh1b financing for key projects – Gulf News 10 June 2016 Philippines may join Asian sovereigns testing sukuk market – Reuters 08 June 2016 Saudi housing ministry says to issue sukuk for real estate fund – Reuters 07 June 2016 Faisal Islamic Bank: turnovers rise to $6.5 bln at May-end – Amwal Al Ghad 06 June 2016 Dubai Islamic Bank opens 3.16 bln dirham rights issue - Reuters PO Box 2010, Ruwi, 112, Muscat-Oman. Tel: +968 24754576 Fax: +968 24125125 Web site http://www.oabinvest.com E-Mail: [email protected]
Disclaimer: This report has been prepared by research department in IMG – Oman Arab Bank, and is provided for information purposes only. Under no circumstances is to be used or considered as an offer to sell or solicitation of any offer to buy. While all reasonable care has been taken to ensure that the information contained therein is not untrue or misleading at the time of publication, we make no representation as to its accuracy or completeness and it should not be relied upon as such, and the bank accepts no responsibility whatsoever for any direct or indirect consequential loss arising from any use of this report or its contents. All opinions and estimates included in this document constitute IMG's Research department judgment as of the date of production of this report, and are subject to change without notice. This report may not be reproduced, distributed or published by any recipient for any purpose.
