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Tuesday, November 24 - 2009

Clifford Chance advises DEWA on its debut sukuk issuance

  • United Arab Emirates: Tuesday, June 17 - 2008 at 07:26
  • PRESS RELEASE

The Dubai office of Clifford Chance LLP has advised the Dubai Electricity & Water Authority (DEWA), a Government of Dubai authority and the sole provider of electricity and water in Dubai, on the issuance of Dhs3.2bn Trust Certificates (Sukuk-al-Ijara) (the "Sukuk"); DEWA's debut sukuk issuance.

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The Sukuk were issued by DEWA Funding Limited, a special purpose vehicle incorporated in the Cayman Islands and were offered outside of the United States pursuant to Regulation S. The Sukuk will be listed on the Dubai International Financial Exchange.

The Sukuk offering is a landmark transaction as it is the first sukuk issuance by a public utility provider in Dubai and forms the second strategic method of funding in the capital markets for DEWA (following on from their securitisation programme).

The Sukuk issuance has a 5 year maturity and will pay periodic distribution amounts calculated on the basis of 1.25% per annum above EIBOR.

Partner Debashis Dey, Head of Capital Markets and Structured Finance (Middle East) comments:

"The transaction represented a milestone in DEWA's funding strategy and we are delighted to have represented an entity which provides such a vital public service and is one of the cornerstones of Dubai's growth."


Barclays Capital, Citi, Dubai Islamic Bank and Emirates Bank International were the Joint Lead Managers for the transaction.

The Clifford Chance team comprised Debashis Dey, Ferzana Haq and Lee Irvine.

The Dubai office of Maples and Calder acted for DEWA Funding Limited. Allen & Overy acted for the Joint Lead Managers.
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Notes and media contacts

1. Clifford Chance is one of the world's leading law firms, helping clients achieve their goals by combining the highest global standards with local expertise. The firm has unrivalled scale and depth of legal resources across the key markets of the Middle East, Americas, Asia and Europe and focuses on the core areas of commercial activity: capital markets; corporate and M&A; finance and banking; real estate; tax; pensions and employment; litigation and dispute resolution. Clifford Chance has 28 offices in 21 countries and 3,800 legal advisers.

Clifford Chance achieved the highest number of top tier rankings of any firm in the Chambers Global 2008 Directory, cited in 20 international tables. This independent analysis focuses on firms' legal ability, professional conduct, client service, and commercial awareness, and these rankings provide outstanding recognition for the firm's breadth of expertise and consistency of quality across global markets.

2. The capital markets practice comprises over 422 partners and lawyers who concentrate on securities transactions and other products sold into the capital markets. The practice is founded on a full-service US and UK securities law capability, complemented by local securities law expertise in each of the key financial centres.

The combination of local knowledge with an international perspective enables us to provide practical, integrated legal advice covering the full spectrum of global capital raising activities including public and private domestic and international offerings of traditional debt and equity securities as well as convertible and other derivative and structured securities.

Consistently ranked as the 'best legal practice for securitisation' by key commentators, the Clifford Chance International Securitisation Group is at the forefront of the securitisation markets across the world. The Group advises most of the leading market participants and provides an in-depth knowledge of complex issues relating to the securitisation of a broad spectrum of assets.

Our clients include issuers, originators, arrangers, managers, investors and other finance providers, trustees, rating agencies, monoline insurers and swap counterparties from a variety off industries including energy, transport, infrastructure projects, and real estate.

3. Clifford Chance's 75-lawyer Dubai office is fully integrated into the firm's worldwide network of offices and has a market leading finance practice in the Middle East. The firm celebrated its 30th anniversary in the United Arab Emirates in 2005, having opened its first office in the region in Sharjah in 1975.

For further information about this release contact Debashis Dey, Head of Capital Markets and Structured Finance, Gulf Region on +971 4 362 0624 or Melanie Carruthers, Business Development Manager on +971 4 362 0623.

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