UAE Business: Clifford Chance advises on historic UAE first bond issue – Gulf Digital News

UAE Business: Clifford Chance advises on historic UAE first bond issue – Gulf Digital News

Leading international law firm Clifford Chance has advised the Federal Government of the UAE, acting through the Ministry of Finance, on the establishment of its Global Medium-Term Note Programme and inaugural issuances thereunder.

 

The Federal Government issued $4 billion across three tranches: (i) $1 billion 2.000 per cent. Notes due 2031 (the "2031 Notes"); (ii) $1 billion 2.875 per cent. Notes due 2041 (the "2041 Notes"); and (iii) a Formosa tranche of $2 billion 3.250 per cent. Notes due 2061 (the "Formosa Notes"). The Notes were issued in accordance with Regulation-S/Rule 144A of the US Securities Act of 1933, as amended, and all three tranches are expected to be listed on the London Stock Exchange, Nasdaq Dubai and the Abu Dhabi Securities Exchange. The Formosa-tranche will additionally also be listed on Taipei Stock Exchange.

 

Although individual emirates of the UAE have issued on the international capital markets before, this transaction was the first time the Federal Government accessed the international capital markets. The Federal Government intends to use the proceeds for its domestic budgetary purposes in compliance with its Public Debt Strategy.

 

Clifford Chance's team comprised partner and Head of Middle East Capital Markets, Stuart Ure (Dubai), US Securities partner, John Connolly (London),