DUBAI - Dubai-based mortgage lender Amlak Finance will make its semi-annual coupon payment for its 2010 Sukuk on January 18.
The statement, posted on the Dubai Financial Market web site from the fiscal and paying agent HSBC, did not give the total value of the coupon to
“Semi-annual coupon payment on Amlak Sukuk 2010 ... will be made on January 18, 2010. Holders of the bond whose names appear in Dubai Financial Market ... register on the close of trading on January 10 (settlement January 12, 2010) will be entitled to the coupon payment which will cover the period from July 20, 2009, to January 17, 2010, (inclusive),” the statement said.
According to Zawya’s sukuk monitor, Amlak will have to pay $33 million this month, where the last payment is scheduled on July 18. The five-year $200 million Islamic bond is due on July18, 2010, according to Zawya’s sukuk monitor. Amlak and Tamweel were the UAE’s two biggest mortgage lenders before the seizure of global credit markets blocked their access to new funding. On December 30, Dubai formed a judicial committee to ensure protection to all creditors and companies related to the cash-strapped mortgage companies Amlak Finance and Tamweel, which are currently in the process of a long-awaited merger.
Amlak and Tamweel, both of which comply with Islamic banking rules, were the country’s two biggest mortgage lenders before the seizure of global credit markets blocked their access to new funding.
The three-member judicial committee “will be the only judicial body ... with the right to review all requests and legal claims related to settling the financial issues of the two companies,” the official news agency Wam said last month, quoting a statement from the office of His Highness Shaikh Mohammed bin Rashid Al Maktoum, Vice-President and Prime Minister of the UAE and Ruler of Dubai.