Aldar Properties Successfully Issues $500 Million in Green Bonds, Financing Sustainable Projects with Ease

Aldar Properties, a real estate development company in the United Arab Emirates, has successfully issued ten-year green bonds worth $500 million. The sukuks were sold at a premium of 110 basis points over US Treasuries, lower than the initial indicative price of 140 basis points set earlier in the day.

The proceeds from the sale of the green bonds will be used to finance, refinance and invest in green projects. The offering received purchase orders worth over $1.9 billion as part of a financing program launched by the company totaling two billion dollars.

The issuance of these green bonds signifies a positive step towards sustainable financing and investment in green projects for Aldar Properties. Mubadala Investment Company owns 25% of Aldar Properties, while International Holding Company owns 26%. In mid-May, the real estate development company sold 10-year green bonds worth $500 million to finance a project within its green financing program.

HSBC and Standard Chartered were chosen as joint global coordinators, with Abu Dhabi Commercial Bank, Abu Dhabi Islamic Bank, Dubai Islamic Bank, Emirates NBD Capital, First Abu Dhabi Bank, Mashreq and Morgan Stanley as lead managers and joint bookrunners.