The Sharjah government issued a USD 750 mn, 10.5-year sukuk, Wam reports. The issuance was priced at a spread of 140 basis points (bps) over US treasuries — tightened by 35 bps from initial price guidance of 175 bps on the back of strong investor demand.

The order book drew some USD 2.6 bn in bids, making it 3.5x oversubscribed, with 34% covered by investors outside the Mena region, Wam reports.

Sharjah is a frequent issuer: Sharjah issued a five-year, AED 1 bn sukuk auction earlier in July, which carried a 5.5% yield. During the same month, the Sharjah government also took EUR 500 mn, 6.5-year sustainability bonds to market, marking the second green bond issuance for the emirate this year, after closing its USD 750 mn, 12-year senior unsecured sustainable bond issuance in March.

ADVISORS- Bank of Sharjah served as joint lead manager along with other international and regional lenders.

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