Kamco & Gulf Bank issue largest KWD dominated corporate bond: Kuwait

Kamco & Gulf Bank issue largest KWD dominated corporate bond: Kuwait

Kamco Invest and Gulf Bank announced the successful completion of the KWD165 million bond issuance for Kuwait Projects Company (Holding) KIPCO, the largest KWD denominated corporate bond ever issued.

Jointly managed by Kamco Invest and Gulf Bank, the bond comprises of two tranches, a fixed rate and fl oating rate tranches,with a tenure of 6 years. The KWD55.15million Fixed Rate tranche offers a coupon of 6.75%, whereas the KWD 109.85million Floating Rate trancheoffers a coupon rate of 3.00% above the Central Bank of Kuwait’s discount rate with a cap of 7.75% per annum.The coupon on both tranches will be paid semiannually, with first payment commencing end of June 2023. Kamco Invest acted as a financial advisor to KIPCO in structuring the terms and coordinating with the regulators and various related parties.

On this occasion, Abdullah M. AlSharekh, Managing Director of Markets and Investment Banking at Kamco Invest said, “This transaction marks yet another milestone that will pave the path for additional issuances to strengthen the local and regional debt capital markets. KIPCO’s financial position, vision, and strong track record in utilizing the debt capital markets have helped in attracting strong investor appetite.”

AlSharekh Added, “Despite it being the largest KWD denominated corporate bond,