Citi is one of the leading players in Sukuk and syndicated Islamic financings. Citi's Capital Markets Origination business is focused on the capital-raising needs of institutional clients, from inaugural issuances and exchanges to cross-border transactions and first-of-their-kind landmark structures. Citi’s Agency & Trust team has industry leading experience with documenting and executing deals worldwide, including arranging for Sukuk transactions through Sharia compliant escrow arrangements, among other Issuer Services.
Citi’s experience in the Sukuk market includes repeat issuances from across regions and sectors, including financial institutions, corporates and sovereigns from the MENA region. Citi remains the first-choice book runner in the MENA region, as both corporate and sovereign clients continue to trust us with arranging their successful Eurobond offerings. We are proud of our legacy of leadership and excellence and are committed to continue to serve our clients in helping them to achieve their financing needs.
Over the last 3 years alone, Citi has advised multiple Sovereigns, Quasi-Sovereigns, Corporates and Financial Institutions on Sukuk globally, in the volume of around US$ 35 billion. Citi has worked closely with many issuers in developing innovative Sukuk structures which have become market benchmarks.
Republic of Indonesia – USD3 bn Trust Certificates due 2023 and 2028
On February 22, 2018, the Republic of Indonesia successfully priced an international Sukuk offering totaling USD 3 bn, including its debut offering in green format. Citi served as Joint Book runner, Billing and Delivery Bank on this landmark transaction.
Emirates ECGD – USD 913 mn Guaranteed Sukuk Certificates
On March 25, 2015, Citigroup acted as Joint Structuring Agent and Joint Lead Manager on the inaugural USD 913,026,000 Sukuk Certificates offering for Emirates, guaranteed by Her Britannic Majesty’s Secretary of State Acting by the Exports Credits Guarantee Department of the UK Government (“ECGD”)
The Trust Certificates Due March, 2025 represent the largest single capital markets financing of A380-800 aircraft. The Sukuk structure has been approved by the Sharia Supervisory Board of Citi Islamic Investment Bank, and carries endorsements from each of the Joint Lead Managers’ Sharia boards where applicable. The Sukuk utilized the Sharia concepts of Istisna and Ijara. To facilitate an aircraft prefunding transaction, the Sukuk utilized the concept of Rights to Travel (ATKMs) to create tangibility for trading purposes, and an Ijara on a forward lease basis prior to acquisition of the Aircraft.
The Kingdom of Saudi Arabia – USD 9 bn 144a / RegS Sukuk
On 12th April 2017, the Kingdom of Saudi Arabia priced a multi tranche USD 9 billion debut Sukuk offering, split evenly across 5 and 10 year tranches and a final order book in excess of USD 35 billion. Citi was a joint Global Coordinator on this transaction. The transaction followed the Kingdom’s record breaking USD 17.5 billion triple-tranche debut bond offering in October 2016, on which Citi was also Joint Global Coordinator.