UAE’s Tabreed issues new $500m 7-year bond

UAE’s Tabreed issues new $500m 7-year bond

UAE-based National Central Cooling Company, Tabreed, has raised $500m (Dhs1.8bn) with a new 7-year, 2.5 per cent coupon bond issuance.

The bond has been rated Baa3 by Moody's and BBB by Fitch.

Orders came from around 140 local and international investors, with the issuance oversubscribed almost five times at its initial size of $400m.

Reportedly, 90 per cent of the investors were from international locations, with 49 per cent from Europe, 21 per cent from Asia and 20 per cent from offshore US funds.

The bond will be listed on the London Stock Exchange, alongside Tabreed's existing 2025 sukuk.

Tabreed has 83 District Cooling plants, delivering over 1.342 million refrigeration tons to key projects across the UAE including Burj Khalifa, The Dubai Mall, Sheikh Zayed Grand Mosque, Dubai Metro, and in other parts of