Estithmar Holding Q.P.S.C., a prominent Qatar-based conglomerate, has successfully issued the first-ever Qatari Riyal-denominated corporate sukuk. This landmark transaction, advised by global law firm White & Case LLP, marks a significant milestone in the Qatari financial market. The issuance, valued at QAR 500 million, is part of a larger QAR 3.4 billion trust certificate issuance programme. The sukuk, due in 2027, is also the first Qatari Riyal debt instrument listed on the London Stock Exchange’s International Securities Market (ISM).
A Milestone for Qatari Finance
Estithmar Holding’s sukuk issuance represents a groundbreaking achievement for the Qatari financial sector. This transaction not only highlights the growing sophistication of Qatar’s capital markets but also underscores the country’s commitment to diversifying its financial instruments. The sukuk issuance provides Estithmar Holding with fresh funding, enabling the company to pursue its strategic objectives and contribute to the broader economic development of Qatar.
The successful issuance of the sukuk was facilitated by a team of experts from White & Case LLP, who leveraged their extensive experience in capital markets and Islamic finance. The involvement of Al Rayan Investment LLC, The First Investor QSCC, and Lesha Bank LLC as dealers further ensured the smooth execution of the transaction. This collaborative effort underscores the importance of strategic partnerships in achieving financial milestones.
The listing of the sukuk on the London Stock Exchange’s ISM is a testament to the global appeal of Qatari financial instruments. It opens up new avenues for international investors to participate in Qatar’s economic growth, thereby enhancing the country’s financial integration with global markets.
Strategic Implications for Estithmar Holding
For Estithmar Holding, the issuance of the sukuk is a strategic move that aligns with its long-term growth plans. The QAR 500 million raised through this transaction will be instrumental in funding the company’s various projects and initiatives. This fresh capital injection will enable Estithmar Holding to expand its operations, invest in new ventures, and enhance its competitive edge in the market.
The sukuk issuance also reflects Estithmar Holding’s commitment to adopting innovative financial solutions. By opting for a Qatari Riyal-denominated sukuk, the company has demonstrated its confidence in the local currency and its desire to support the domestic financial ecosystem. This move is likely to inspire other Qatari companies to explore similar financing options, thereby contributing to the overall development of the country’s capital markets.
Moreover, the successful issuance of the sukuk enhances Estithmar Holding’s reputation as a forward-thinking and financially robust entity. It sends a positive signal to investors, stakeholders, and the broader market about the company’s financial health and strategic vision.
The Role of White & Case LLP
White & Case LLP played a pivotal role in the successful issuance of Estithmar Holding’s sukuk. The firm’s team, led by partners Debashis Dey and Charbel Abou Charaf, provided comprehensive legal and strategic advice throughout the transaction. Their expertise in capital markets and Islamic finance was instrumental in navigating the complexities of the sukuk issuance process.
The involvement of White & Case LLP underscores the importance of having experienced legal advisors in executing complex financial transactions. The firm’s ability to provide tailored solutions and strategic insights was crucial in ensuring the successful completion of the sukuk issuance. This collaboration highlights the value of combining local market knowledge with global expertise to achieve financial milestones.
The successful issuance of the sukuk also reflects White & Case LLP’s commitment to supporting its clients in achieving their strategic objectives. The firm’s role in this landmark transaction reinforces its reputation as a leading advisor in the field of capital markets and Islamic finance.
