TAJBank Limited, Nigeria’s fastest-growing non-interest bank, has once again shown its strong position in the country’s non-interest banking investment market as its latest ₦20 billion Mudarabah Sukuk bond offer achieved a remarkable 185.15% oversubscription rate.
According to data released by investment market authorities, the Sukuk bond, which carries a 20.5% annual profit rate, recorded a total allotment of ₦57.03 billion. This figure represents a 185.15% oversubscription, highlighting the growing confidence of investors in TAJBank’s stability and performance in Nigeria’s financial sector.
Speaking on the impressive performance of the bond, TAJBank’s Founder and Managing Director, Mr Hamid Joda, said the result of the ₦20 billion Mudarabah Sukuk bond subscription, which is the second tranche of the bank’s ₦100 billion Sukuk bond programme, was remarkable, especially given the tough economic environment in Nigeria.
He stated, “Let me say that this outstanding performance of the Sukuk bond is a clear demonstration that the bank is enjoying growing investor confidence, and this can only be attributed to the quality of innovative products and services, and value addition TAJBank is delivering in the non-interest banking subsector of the banking system, especially when analysed within the context of the current realities in the debt instrument market today.”
Mr Joda expressed appreciation to the board, management, and staff of the bank, as well as the regulatory authorities and investors, for their roles in the success of the bond issuance. “I also assure them that TAJBank shall continue to protect their interest to ensure a win-win experience for all stakeholders as we sustain our drive to maintain the bank as the leading player in the nation’s non-interest subsector of the banking system,” he added.
In his remarks, the Co-Founder and Executive Director of TAJBank, Mr Sherif Idi, noted that the achievement reflected the confidence investors have in the bank. “This investment feat is a clear demonstration of investors’ trust in TAJBank, and we will continue to do our best to surpass their expectations through world-class products and services. As always, our interest in the customers and investors is paramount,” he said.
Financial analysts have commended the success of the ₦20 billion Sukuk bond, noting that the result would likely attract more investors, businesses, and customers to the bank. They believe this would further strengthen the growth of non-interest banking and increase financial inclusion in Nigeria.
Since its debut in the non-interest banking space about five years ago, TAJBank has promoted ethical banking through innovative products and customer-focused services. The bank’s long-term goal is to become one of Nigeria’s top 20 banks by 2029.
TAJBank’s outstanding performance has also earned it several national and international awards, including the Global Islamic Finance Award (GIFA) 2023 for the “Best Sukuk Deal of the Year 2023.” It also received BusinessDay’s “Islamic Bank of the Year” awards in 2021, 2022, and 2023, as well as Leadership Newspaper’s “Bank of the Year” award in 2020.