Dubai Islamic Bank says redeems $750 mln sukuk

DUBAI, March 28 Wed Mar 28, 2012 9:11am EDT

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DUBAI, March 28 (Reuters) - Dubai Islamic Bank has repaid a $750 million, five-year Islamic bond which matured on March 22 using its own resources, the bank said in an e-mailed statement on Wednesday.

The sukuk, which was issued by Dubai's largest sharia-compliant bank in March 2007, was then oversubscribed by three times, with 45 percent allocation to the Middle East, 25 percentto Asia and 30 percent to Europe.

"The ability to repay from our own resources without the need to refinance is testament to the robust fundamentals we have built over the past years," said Adnan Chilwan, deputy chief executive.

"We will continue to explore potential opportunities to expand our funding sources in the future."

The bank posted a 25 percent rise in 2011 net profit to 1.01 billion dirhams.

Tamweel, a mortgage finance company majority-owned by DIB, recently issued a $300 million, five-year sukuk. (Reporting by Mirna Sleiman; Editing by Andrew Torchia)