Quotes: MENA   Enter Symbol: NewsLetter: Search: advanced

UAE bond sales raise record $6 billion  Join our daily free Newsletter

MENAFN - Khaleej Times - 13/06/2014
No. of Ratings : 0
Add to Mixx!



(MENAFN - Khaleej Times) Etisalat dp world and emaar malls group to use funds for key business strategies

top uae entities have raised more than 6 billion in record bond sales.

telecom operator etisalat led thursday’s announcements by raising 4.3 billion in its debut bonds issue the biggest ever for a corporate issue in the region. this was followed by the world’s third-biggest ports operator dp world with 1 billion and emaar malls with 750 million through sukuk.

all three firms confirmed the sales on thursday.

etisalat

the bonds sold by abu dhabi-based etisalat were bid up in the secondary market on thursday with the us dollar tranches outperforming euro paper according to traders.

the telecom operator sold 4.3 billion bonds in four tranches on wednesday setting one record as the region’s biggest corporate issue ever and another for the cheapest pricing of any gulf bond above mid-swaps bankers said.

the two euro tranches attracted massive demand from european investors. about 80 per cent of the euro bonds — a seven-year 1.2 billion euro tranche and a 12-year tranche of the same size — went to european investors according to allocation data.

only 46 per cent of the dollar bonds — a five-year 500 million tranche and a 10-year tranche of the same size — went to europeans. thirty-one per cent was allocated to middle east investors.

“the issued bonds are denominated in us dollars and euros and consist of four tranches. a five-year tranche of 500 million with a coupon rate of 2.375 per cent per annum; a seven-year tranche of €1200 million with a coupon rate of 1.75 per cent per annum; a 10-year tranche of 500 million with a coupon rate of 3.5 per cent per annum; and a 12-year tranche of €1200 million with a coupon rate of 2.75 per cent per annum” etisalat said in its statement.

lead managers for the etisalat issue were deutsche bank goldman sachs hsbc and rbs.

“net proceeds from the issuance of the bond will be used for repayment of the outstanding facilities amounting to €3.15 billion that were used to fund the acquisition of vivendi’s 53 per cent stake in maroc telecom” the statement added.

dp world

port operator dp world raised 1 billion from a convertible bonds sale to fund acquisitions and growth.

the securities due in 2024 will pay an annual interest of 1.75 per cent and be converted at a price of 27.1396 a share a 37.5 per cent premium to its average share price of today the company said in a statement.

dp world chairman sultan ahmed bin sulayem said: “the proceeds from the convertible bond provide us with additional financial flexibility at an extremely low interest rate to take advantage of further organic or inorganic investment opportunities in order to enhance returns to shareholders over the medium term.”

dp world group chief executive officer mohammed sharaf said: “we are taking advantage of the current low-cost financing opportunities in the convertible market to secure long-term financing so we can continue to grow our business to meet the changing needs of our customers. the issuance also allows us to diversify our funding sources and access a broader investor base.”

emaar malls

emaar malls group raised 750 million from a debut sale of islamic bonds in line with a previously-announced bank loan and sukuk roadshows for the purpose of providing the appropriate capital structure for the group ahead of its proposed initial public offering.

emaar malls group successfully priced a 750 million 10-year regs debut sukuk with a profit rate of 4.564 per cent representing 182.5bps over 10-year mid-swaps on wednesday 11 june 2014.

the transaction came on the back of an expedited yet comprehensive global roadshow covering key financial centres — london singapore hong kong and the uae. the proposed issuance was very well received by the market with the order book closing at approximately 5.4 billion representing 7.2 times oversubscription.

— abdulbasit?khaleejtimes.com


 


Khaleej Times




  MENA News Headlines
 Aug 2 2015 - Mine Blast Kills One Soldier, Injures Four in Northeast TurkeyQatar News Agency
(MENAFN - QNA) A Turkish soldier were killed and four others were injured in a mine blast in the Turkish northeast province of Kars, security sources said. Turkey's Anadolu Agency reported that ...

 Aug 2 2015 - Turkish Prime Minister Meets HE Qatar's Minister of State for DefenseQatar News Agency
(MENAFN - QNA) Turkish Prime Minister Ahmet Davutoglu met Sunday with HE Qatar's Minister of State for Defense Affairs Major-General Hamad bin Ali Al Attiyah and his accompanying delegation on the ...

 Aug 2 2015 - HE Prime Minister Meets US Assistant Secretary of StateQatar News Agency
(MENAFN - QNA) HE Prime Minister and Minister of Interior Sheikh Abdullah bin Nasser bin Khalifa Al-Thani met Sunday with US Assistant Secretary of State for Near Eastern Affairs Anne Patterson and ...

 Aug 2 2015 - Dubai property giant Emaar's profit up 12% in first halfAFP
(MENAFN - AFP) Dubai-based developer Emaar Properties on Sunday reported a 12 percent rise in net profits for the first six months of 2015 due to high revenues from its shopping malls and ...

 Aug 2 2015 - 'Egyptian Industrial Product Preference' regulation will decrease foreign product imports: FEI board memberDaily News Egypt
(MENAFN - Daily News Egypt) The Ministry of Industry and Foreign Trade announced it has finalised an executive regulation of Law 5/2015 to create a preference for Egyptian industrial products in ...

 Aug 2 2015 - Egypt's economy grows 4.7% in first 9 months of FY 2014/2015Daily News Egypt
(MENAFN - Daily News Egypt) Egypt's economic growth rate in the first nine months of fiscal year (FY) 2014/2015 grew by 4.7%, Minister of Planning Ashraf El-Araby said in a Saturday press ...

 Aug 2 2015 - Barclays says its activities in Africa strengthenedDaily News Egypt
(MENAFN - Daily News Egypt) Barclays has increased its contribution to the African market and strengthened its business in South Africa, the bank said in a recently published report.It is working to ...

 Aug 2 2015 - Al-Azhar Grand Imam sends condolences to bin Laden familyDaily News Egypt
(MENAFN - Daily News Egypt) Egypt's top religious institute Al-Azhar sent its condolences to the Saudi bin Laden family, after a plane crash in the UK left three members of the family dead.Al-Azhar's ...

 Aug 2 2015 - Egypt- Al Jazeera re-trial further postponed to 29 AugustDaily News Egypt
(MENAFN - Daily News Egypt) The retrial of Al Jazeera journalists Mohamed Fahmy, Peter Greste and Baher Mohamed has been postponed for the second time, with the verdict now expected on 29 August.The ...

 Aug 2 2015 - Strategic dialogue follows Egypt's strategy to decentralise source of weapons: ResearcherDaily News Egypt
(MENAFN - Daily News Egypt) Egypt's Foreign Minister Sameh Shoukry met with his US counterpart John Kerry in Cairo on Sunday for the strategic dialogue between both countries, the first meeting of ...

more...


 






Google

Click to Apply

 
 

Middle East North Africa - Financial Network

MENAFN News Market Data Countries Tools Section  
 

Middle East North Africa - Financial Network
Arabic MENAFN

Main News
News By Industry
News By Country

Islamic Finance News
Private Equity News

How-To Guides
Technology Section

Travel Section

Search News

Market Indices
Quotes & Charts

Global Indices
Arab Indices

Commodoties

Oil & Energy

Currencies Cross Rates
Currencies Updates
Currency Converter

USA Stocks
Arab Stocks
 

Algeria 
Bahrain 
Egypt 
Iraq
Jordan 
Kuwait 
Lebanon
Morocco 
Oman 
Palestine
Qatar 
Saudi Arabia 
Syria
Tunisia 
UAE 
Yemen

Weather
Economic Calendar
Financial Glossary


Financial Calculators

RSS Feeds [XML]

Corporate Monitor

Events

Real Estate
Submit Your Property

Arab Research
Buy a Research

Press Releases
Submit your PR

Join Newsletters


 
© 2014 menafn.com All Rights Reserved.  Terms of Service | Privacy Policy | Contact Us | Advertise | About MENAFN | Career Opportunities | Feedback | Help