Clifford Chance

Clifford Chance advises the Republic of Indonesia on its US$2.35 billion global sukuk

Global law firm Clifford Chance has advised the Republic of Indonesia on the international aspects of its landmark US$2.35 billion global sukuk.

The three-tranche offering comprises of US$750 million 5-year, US$1 billion 10-year and US$600 million 30-year (green) Reg S/144A trust certificates due 2029, 2034 and 2054 respectively. The 30-year green sukuk is backed by a pool of green assets, highlighting the Republic's long-term commitment to green and sustainable financing. The trust certificates are dual-listed on the Singapore Exchange and NASDAQ Dubai.

Partner Gareth Deiner in Singapore said, "Congratulations to the Republic of Indonesia and all parties involved in this sukuk issuance, which has progressively set the benchmark for Islamic finance in sovereign global markets. We are proud to continue our work advising on the Republic's global sukuk issuances, building on a relationship which stretches back a decade. This transaction highlights our market-leading expertise on complex international debt issuances."

"Indonesia's green sukuk stand out as a prime example of how governments play a leading role in attracting capital for sustainable development. This strategy has enabled the financing for a spectrum of initiatives in Indonesia to combat climate change, from renewable energy, sustainable transportation, waste management and enhancing climate resilience," Gareth added.

Gareth and Qudeer Latif (Dubai) co-led the cross-border team advising on the transaction, which also includes counsel Stephanie Liman (Singapore), associate Joel Sherard (Singapore) and trainee solicitor Charmaine Fang (Hong Kong). New York partners Jefferey LeMaster, Avrohom Gelber and Paul Koppel, and associate Emily Picard provided additional advice on Investment Company Act, US tax and ERISA considerations.

Citigroup, Dubai Islamic Bank, HSBC, Mandiri Securities and MUFG acted as Joint Lead Managers and Joint Bookrunners.

Clifford Chance had also previously advised on the Republic of Indonesia's landmark US$2.5 billion sukuk and US$4.3 billion three-tranche bond issuance. The firm has a leading track record advising on complex and landmark debt capital markets transactions in Asia Pacific, most recently advising Standard Chartered Bank on its US$5 billion global covered bond programme and issuance of €500 million three-year covered bonds, Asia's first sustainability-linked perpetual securities, and the world's largest orange bond.