Moody's rates Emirates Islamic Bank debt A1

Moody's Investors Service said it assigned an A1 rating to the upcoming floating-rate senior Sukuk trust certificates due 2012 to be issued by Emirates Islamic Bank PJSC, a wholly owned subsidiary of Emirates Bank International PJSC (A1/Prime-1/A1), under a $1 billion trust certificate issuance program.

EIB Sukuk Co. Ltd., a special purpose entity incorporated in the Cayman Islands, will issue Sukuk to investors and will use the proceeds to acquire a co-ownership interest in a portfolio of assets held or owned by the bank. Emirates Islamic Bank, as managing agent, will collect all payments from the assets and will pay the issuer an amount sufficient to fund the periodic distribution amount to Sukuk holders on each distribution date.

The agency said the rating is based on the A1 senior unsecured ratings assigned to Emirates Bank International, the guarantor, and the strong likelihood of systemic support from the United Arab Emirates authorities given the bank's strong relationship with the Dubai government, including its 77% direct ownership and importance in the banking system in the United Arab Emirates.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.