- International Islamic Liquidity Management’s maiden Sukuk issuance won the overall ‘Deal of the Year’ accolade, as well as the ‘Sukuk Deal of the Year’ for 2013 at the Islamic Finance news Awards.
- Structured Finance Management
International Islamic Liquidity Management Corporation (IILM) is an international institution established in 2010 by central banks, monetary authorities and multilateral organisations to create and issue short-term Shariah compliant financial instruments to facilitate effective cross-border Islamic liquidity management. The ensuing $2 billion trust certificate issuance programme, rated A-1 by S&P, incorporates a double SPV structure comprising of an issuer and an asset-holding vehicle, both domiciled in Luxembourg and managed by SFM.
The underlying assets, privately purchased by the asset-holding SPV, consist of Sukuk issued by sovereign related entities and were subject to stringent criteria: to be highly rated, short-term and easily tradeable. As a result, it was a significant achievement for IILM to successfully identify and access a pool of suitable assets, in addition to reconciling Shariah principles with Luxembourg law to ensure that the structure was robust prior to the first issuance.
SFM was delighted to be involved in such an innovative and successful transaction and welcomed the opportunity to continue to grow its portfolio of Islamic financing transactions, which also includes the Al Mi’yar Shariah compliant securities issuance platform.