Maples works on Islamic bond

Maples and Calder, the world’s leading offshore law firm, has acted as Cayman Islands counsel to the issuer, ADIB Sukuk Company Ltd. in establishing its US$5,000,000,000 sukuk issuance programme.

The programme was the first sukuk issuance programme to be listed on the London Stock Exchange.

Cayman Islands registered ADIB Sukuk Company Ltd., a special purpose entity set up by Abu Dhabi Islamic Bank, has issued investors with sukuk and will use the proceeds to acquire a co-ownership interest in a portfolio of assets comprising ‘Ijara’ (lease) contracts from ADIB, with the two parties becoming co-owners of the assets, states a press release.

Commenting on the transaction, Maples and Calder Dubai managing partner, Tahir Jawed who led the team said: ‘This is a very important development for the whole Islamic finance market, which has seen phenomenal growth in the last few years. The size of transaction and the fact that it is listed on the London Stock Exchange demonstrates that the global financial community has recognised the enormous potential of Sharia compliant products and that they are now accepted as a mainstream asset-class by investors. The transaction also shows that the Cayman Islands are fast becoming the leading offshore Jurisdiction for Islamic finance structures.’

Allen & Overy acted for HSBC and Norton Rose acted for ADIB.