gulfnews : Nakheel sukuk falls as holders crowd market

Nakheel's Islamic bonds, which were issued to contractors and suppliers instead of cash as part of a $16.1 billion (Dh59.1 billion) restructuring plan, fell in their first week of trading as holders flooded the market.

The real estate developer saw the yield on its sukuk soar 108 basis points since September 9, or 1.08 percentage points, to 17.08 per cent on September 16, according to prices at Standard Chartered on Bloomberg.

It was little changed yesterday. The rate on Dubai government's 6.396 per cent sukuk due November 2014 gained eight basis points last week to 4.88 per cent on Friday, according to data compiled by Bloomberg. It rose three basis points yesterday.

* username: rupertbu