The December 28, 2006 Musharaka Sukuk Transaction Closing marked the culmination of an international effort to bring the US$200 Lagoon City Sukuk to fruition. ASAR acted as Kuwaiti counsel to Originator, Musharaka Partner and Manager Al Ahlia Gulf Holding Company K.S.C. (AGHC). ASAR advised AGHC as well as the other Guarantors (Al Ahlia Investment Company K.S.C. and Bait Al Salam Real Estate Company WLL) concerning the documentation, structure and security package with respect to Kuwaiti law. ASAR also provided its legal opinion to the Lead Managers on closing.

At the time of closing, the US$200 million sukuk was the largest issue of this type in Kuwait. Lagoon City residential village is a sub-development of Kheiran Pearl City in Kuwait City. AGHC developed the Lagoon City project to offer property investors the opportunity to own and build on the land. Lagoon City is located near prime beaches of Kheiran.

Participants in the issue included: Liquidity Management Centre B.S.C.(c) (Senior Lead Manager), Emirates Islamic Bank P.J.S.C. (Senior Lead Manager), Bahrain Islamic Bank B.S.C. (Senior Lead Manager), Masraf Al Rayan (Lead Manager), Islamic Development Bank (Lead Manager), Capital Management House (Lead Manager), Sharjah Islamic Bank (Lead Manager), Kuwait Finance House (Malaysia) Berhad (Lead Manager), The Arab Investment Co. S.A.A.(Lead Manager), Emirates Bank International P.J.S.C.(Lead Manager), Al Safa Islamic Banking - Commercial Bank of Qatar (Manager), Bank Muscat International B.S.C.(c) (Manager), Khaleeji Commercial Bank B.S.C.(c) (Co-Lead Manager), Kuwait Real Estate Bank K.S.C. (Co-Lead Manager), National Bonds Corporation P.J.S.C., Al-Amin Bank, Arab Islamic Bank – Palestine, and Deutsche Bank.