Ras Al Khaimah Government appoints Standard Chartered Bank to arrange its Sukuk Programme and lead manage the inaugural issuance
The Ras Al Khaimah Government has signed an agreement in which it has appointed Standard Chartered Bank to be Sole Lead Manager and Sole Bookrunner for its Landmark Sukuk Programme. The Bank arranged the Programme for the Government and will also manage the inaugural Sukuk issuance.
The Sukuk Programme follows the Government’s initiative to obtain credit ratings earlier this year through rating advisory services by Standard Chartered Bank in which both Fitch and Standard and Poors (S&P) provided the RAK government with an “A” level rating.
The inaugural issuance under the Programme is expected to be denominated in AED, and will be the first rated Sovereign issuance in AED. The transaction will be for a tenor of 5 years, with investor meetings scheduled to start the week of May 5, 2008.
Crown Prince and Deputy Ruler of Ras Al-Khaimah Sheikh Saud Bin Saqr Al Qasimi signed the Programme agreement with Standard Chartered Bank CEO for Middle East and North Africa (MENA), Shayne Nelson and Regional Head of Capital Markets, Gilles Franck.
The signing ceremony was attended by Yousef Obaid Al Nuaimi, Chairman of RAK Chamber of Commerce and Industry, Jihad Quzmar, Legal Advisor to the Government of Ras Al Khaimah and Board Member of Investment and Development Office, Mubarak Ali Al Shamsi, Director General of RAK Municipality, Hamad Al Shamsi, Deputy Director General of RAK Economic Development Department, Anzal Mohammed of Allen and Overy, and a number of officials.
“The arrangement of this Sukuk Programme is in line with the government's strategic vision of the progressive development of Ras Al Khaimah. The strong credit ratings from S&P and Fitch are also independent votes of confidence in the Emirate's economic program and fiscal position. We extend our appreciation to SCB for facilitating the Programme and for its role as our rating advisor," said Adnan Al-Maimani, President of the Investment and Development Office.
Shayne Nelson said, “This partnership is testament of the confidence and deep understanding of RAK’s Government strategic vision and future plans. The sovereign ratings by S&P and Fitch further reaffirms the Government’s leadership, commitment and capabilities.”
“This Sukuk Programme is a milestone in the development of the AED capital markets. We are grateful the Government of RAK provided us the opportunity to work with it on the execution, starting with the ratings process and contribute to its success,” said Gilles Franck, Regional Head of Capital Markets, Standard Chartered Bank.
