Sukuk - A case study microfinance sector by Salman Syed Ali

Top 20 FREQUENT WORDS

elkins 20 llp 20 vinson 20 finance 17 islamic 17 musharaka 16 sukuk 16 partner 11 risk 11 project 10 issues 9 recourse 8 return 8 sponsor 8 assets 7 cont 7 developer 7 financing 7 investor 7 partnership 7

DOCUMENT KEY POINTS

islamic banking forum sukuk backed financings of energy projects mark r
khaleq dubai january

energy and islamic finance a c energy islamic finance compatibility a c thus far limited exposure by the islamic finance industry to energy projects a c a number of shari a investment and finance mechanisms can be utilized in the context of energy related projects a c islamically energy is a halal asset
however one should analyze gharar considerations C vinson elkins llp

common elements of financings a c funding source sukuk a privately placed a registered on stock exchanges a to increase liquidity a c both impose significant due diligence and disclosure rigor a c islamically compliant financing structures a outright purchase of an interest in oil and gas vpp a murabaha cost plus finance to purchase hold and sell assets e
wind turbines a istisna a akin to epc for construction projects a musharaka joint venture a c money partner receives preferred return a c developer partner has operational obligations

oil reserve reports or wind data a complex repayment mechanics a waterfall a c structures to achieve expected returns even in worst case performance scenarios a isolation of project from credit risk of developer and parent a c special purpose entity a c bankruptcy remote a true sale non consolidation opinions C vinson elkins llp
common elements cont d a non recourse except for certain acts by developer partner a c hedges a c preferred returns a c catch ups for missed payments not interest a c due diligence on underlying asset e

musharaka pricing of assets if a sale lease back involving the rigs amount raised would have needed to be commensurate with the value of the rigs around one fourth of the desired sukuk size a c level of disclosure reg d and reg s a c bankruptcy remoteness true sale a c taxation considerations foreign issuer and us assets a c rating of sukuk added features over collateralization to get a better rating C vinson elkins llp
transaction challenges a c islamic structure ijara vs

oil gas a c broadened investor group islamic and non islamic institutions a c quasi mezzanine risk reward opportunity pricing a c s p rating the first sukuk to be rated a c currently testing bankruptcy issues a uncharted territory for islamic finance transactions a but early signs are that the outcome may be more predictable and favorable under us law than would be the case in bankruptcy proceedings involving sukuk issuers in some middle east jurisdictions C vinson elkins llp
significant achievements a c moved islamic finance into a new sector u

sponsor s indirect interest in a latin american exploration and production partnership a c investor funded by issuance of sukuk under a funding agreement purchases an interest in an upper tier owner of the e p partnership a c upper tier owner structured as a musharaka a c musharaka makes a special distribution of the purchase proceeds to u
sponsor has operational obligations C vinson elkins llp

sukuk sponsor purchasers promise to pay sukuk sukuk under limited circumstances terms conditions of the sukuk registrar managing spv investor advice transaction partner partner partner administrator subordinated return nominal preferred return third party musharaka owners e p development C vinson elkins llp partnership
ownership and contract structure greatly simplified u

versus other jurisdictions a treaty considerations a agreements on dispute resolutions in neutral jurisdictions a c tax leakage a reduce or eliminate tax on distributions from the e p partnership up through the ownership chain to the musharaka a required an examination of multiple jurisdictions tax laws and choice of entities C vinson elkins llp
issues cont d a c jurisdiction of organization of musharaka a u

ayman has been recognized in the best of the best in islamic finance by euromoney s guide to the world s leading lawyers by international who s who of business lawyers in islamic finance and capital markets and by islamic finance news leading lawyers in islamic securitization structured finance and islamic energy finance
he has had extensive experience in a broad array of commercial transactions including project structured and commercial finance acquisitions sales construction development management and leasing of pipelines storage facilities power plants chemical facilities and commercial real property entity formations loan syndications and workouts

disclaimer this presentation is not intended to be legal advice or a legal opinion on any specific facts or circumstances
the contents are intended for general information purposes only

Please note, This is an auto generated summary based on sentances position in the document and other factors

DOCUMENT WORD ANALYSIS

Main Category

AlHuda Material\sukuk islamic

KeyWords

sukuk islam asset finance issu certifi financi contract bankable bond ijarah leas structur profit holder rate developed purchase risk investor

DOCUMENT REFERENCES

Number of Pages

23

Published Date

2016-09-17 00:55:48

Full Document

Read the Full Document

Sukuk - A case study microfinance sector by Salman Syed Ali

Contents

Top 20 FREQUENT WORDS

DOCUMENT KEY POINTS

DOCUMENT WORD ANALYSIS

Main Category

KeyWords

RELATED DOCUMENTS

DOCUMENT REFERENCES

Number of Pages

Published Date

Full Document

Navigation menu

Personal tools

Namespaces

Variants

Views

More

Search

Navigation

Tools

Categories