UAE’s Tabreed raises $500mn with new 7-year 2.5% bond

UAE’s Tabreed raises $500mn with new 7-year 2.5% bond

ABU DHABI — UAE's National Central Cooling Company (Tabreed) on Wednesday announced that it has successfully raised $500 million (1.8 billion dirhams) with a 7-year, 2.5 percent coupon bond issuance.

With orders coming from around 140 high quality local and international investors, the issuance was oversubscribed almost 5 times at its initial size of $400 million, demonstrating strong investor confidence in Tabreed's solid credit fundamentals, despite current global economic uncertainty.

This significant demand allowed Tabreed to tighten pricing significantly to achieve a final coupon of 2.5 percent and to increase the size of the final bond