The International Islamic Liquidity Management Corporation (IILM) has issued two short-term A-1 rated sukuk for $600 million.
The issuance came as follows: $300 million one-month sukuk offered at a profit rate of 0.33 percent and $300 million three-month sukuk offered at a profit rate of 0.50 percent.
According to IILM, the auction drew more than $1.17 billion in demand with an average bid-to-cover ratio for the two tranches of 195 percent, with over 40 orders from diversified investors.
“Despite the headwinds linked to the coronavirus outbreak, the oil price slump and lack of visibility in the months ahead, the IILM remains committed to offering multiple short-term investment tools to provide high quality Sharīʿah-compliant paper to the market,” IILM said in a statement.
The total of IILM sukuk outstanding is $2.51 billion with a Shariah tradability ratio of 71 percent tangible assets.
In April, IILM has issued three short-term A-1 rated sukuk for a total amount of $1.06 billion.
The issuance came in three tranches as follows: $300 million one-month sukuk were offered at 1.15 percent, $460 million three-month and $300 million six-month series were offered at 1.55 percent and 1.73 percent, respectively.
Initial mid-pricing guidance was 7 basis points higher for the 6-month tranche and 10 basis points higher for the shorter tranches.
The IILM’s sukuk issuances since 2013 have amounted so far to over $53 billion. The total of IILM sukuk outstanding stands at $2.51 billion with a Shariah tradability ratio of 71% tangible assets.
Source Zawya