In Islamic finance Istisna is a contract to manufacture goods, assemble or process them, or to build a house or other structure according to exact specifications and a fixed timeline. Payments are made as work on the property is finished. Tose’e Melli Mining and Industries Company is raising 1.62 trillion Rials, $45.39 mn through the first-ever sale of Istisna Islamic bonds in Tehran Stock Exchange on Nov. 23. Paying 23% interest annually and maturing in three years, the bonds are issued for funding and completing two iron ore concentrate and pellet plants with a 2.5 million-ton annual output. The plants are located in the city of Sangan, northeastern Khorasan Razavi Province; one is 60% complete while work on the second plant has progressed by only 25%. The bonds will pay interest quarterly. Tose’e Melli Investment Company, as Tose’e Melli’s parent holding, is guaranteeing the bonds. The plants are expected to be complete by early 2017.