IDB set to raise $2bn with sukuk

DUBAI: The Islamic Development Bank is set to raise $2 billion from a sale of Islamic bonds, or sukuk, maturing in five years, a bank document showed on Tuesday.

The spread on the sukuk was set at 55 basis points over secured overnight financing rate mid-swaps, tightened 2 basis points from guidance earlier in the day.

Demand for the debt sale was over $2.2 billion, including $175 million of interest from joint lead managers.

BNP Paribas, Citi, Dukhan Bank, Emirates NBD Capital, HSBC, The Islamic Corporation for the Development of the Private Sector, SMBC Nikko, Societe Generale and Standard Chartered are joint lead managers and bookrunners for the sukuk sale.