Abu Dhabi’s sovereign wealth fund, Mubadala, has started taking orders for 10-year U.S. dollar-denominated Islamic bonds, also known as sukuk. This initiative was reported by the fixed income news service IFR on May 28.

Mamoura Diversified Global Holding, which is the entity through which Mubadala accesses debt markets, has provided initial price guidance of approximately 95 basis points over U.S. Treasuries, according to IFR.

The bond market in the Gulf region has seen a surge in activity, with various issuers continuing to engage in sales despite recent market disruptions caused by U.S. President Donald Trump’s tariffs. For instance, Saudi oil giant Aramco successfully raised $5 billion from a bond sale on Tuesday, while the kingdom’s sovereign wealth fund, PIF, sold $1.25 billion in sukuk earlier this month.

Several financial institutions, including Abu Dhabi Commercial Bank, First Abu Dhabi Bank, HSBC, JPMorgan, and Mizuho, are acting as joint global coordinators for Mubadala’s sukuk sale. They are accompanied by Abu Dhabi Islamic Bank, Barclays, and Credit Agricole, who serve as bookrunners and joint lead managers. Additionally, Emirates NBD Capital and ICBC are participating as passive bookrunners.

Reporting by Yousef Saba and editing by Tomasz Janowski has contributed to this update.