(Adds company's comment in third paragraph)
By Davide Barbuscia and Tom Arnold
DUBAI, March 6 Abu Dhabi Islamic Bank (ADIB)
, the largest sharia-compliant lender in Abu Dhabi, is
considering whether to make a U.S. dollar-denominated sukuk
issue over the next few months, banking sources said on Monday.
The lender could potentially issue in May this year, one of
the sources said, speaking on condition of anonymity because the
information is private.
An ADIB spokeswoman told Reuters by email that ADIB had no
immediate plan to issue sukuk. She did not elaborate.
The Islamic lender would join a number of Gulf Cooperation
Council banks raising debt internationally through both Islamic
and conventional bonds to improve their liquidity, which has
been curtailed by low oil prices, and to bolster their capital
Bahrain-based Gulf International Bank was the first regional
lender to raise debt internationally this year with a $500
million bond sale in January.
It was followed by a $1 billion sukuk sale by Dubai Islamic
Bank, a $500 million conventional bond by Ahli Bank Qatar
and a $500 million bond by the United Arab Emirates’
Bank of Sharjah.
This week, Kuwait’s Warba Bank is expected to make
a U.S. dollar-denominated Tier 1 perpetual non-call sukuk issue.
ADIB issued $1 billion of hybrid perpetual Tier 1 sukuk in
2012. Prior to that, it had issued two five-year sukuk of $750
million and $500 million in 2010 and 2011. It repaid both the
obligations without refinancing them.
The bank's total assets amounted to 122.3 billion dirhams
($33.3 billion) at the end of 2016. The lender is rated A2 by
Moody’s and A+ by Fitch.
(Editing by Andrew Torchia)