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Sub practice

Islamic Capital Markets

The sukuk practice forms part of Allen & Overy's award-winning International Capital Markets practice which has enjoyed a long established reputation for its global reach and top tier position across the full range of financial products.

Sukuk are Shari'a-compliant certificates which are issued in order to raise finance in a Shari'a-compliant manner and, like conventional bonds, can be listed on international exchanges and, if structured properly, will be tradable instruments in the international markets.  However, there are also significant differences between sukuk and conventional bonds, including the fact that sukuk, as trust certificates, are not debt instruments and instead convey a beneficial ownership interest in one or more underlying assets. 

In addition, the periodic payments on sukuk are not interest but instead represent a return earned through the underlying assets, for example on an ijara (lease) based sukuk the periodic return represents the rental payments made on the underlying lease.

Recognition

News & insights

Skyline

News: 12 MAY 2021

Allen & Overy advises on the USD1billion dual-tranche Sukuk offerings by Khazanah Nasional Berhad

Allen & Overy has advised the joint lead managers and the delegate on the dual-tranche Sukuk offerings of a USD400 million five-year Sukuk and the USD600 million ten-year Sukuk issued by Khazanah…

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High-rise buildings

Publications: 24 AUGUST 2020

The end of an era for the PKLN team

The President of Indonesia dissolved the PKLN Team and revoked the regulation which previously subjected Indonesian borrowers of offshore debt to reporting and/or approval of the PKLN Team.

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Key take outs

Global sukak experience

Global sukuk experience


The sukuk practice forms part of Allen & Overy's award-winning International Capital Markets practice which has enjoyed a long established reputation for its global reach and top tier position across the full range of financial products. Read more
Market first transactions

Market-first transactions


Our specialist global Islamic capital markets team consists of lawyers who are considered by independent directories and publications as the leading lawyers in the world for advising on sukuk transactions. The team has advised issuers (whether corporates, banks, governments or supranationals), managers and delegates on the most high profile and innovative transactions, many of which are market-firsts. Read more