Abu Dhabi’s Emirates Development Bank closes $750m five-year bond

SourceGulf Business
SectorFinancial Services
CountryUAE

Abu Dhabi-headquartered Emirates Development Bank (EDB), fully owned by the UAE Federal Government, has closed its $750m five-year bond issue, priced at a fixed re-offer yield of 1.639 percent per annum in the Regulation S markets, it confirmed on Wednesday. This was the second USD transaction issued under EDB’s $3bn Euro Medium Term Note (EMTN) programme, which is a part of the bank’s mandate to boost its accessibility to capital markets and strengthen its funding profile. The bond issue follows EDB receiving ‘AA-’ long-term issuer credit ratings with Outlook Stable by S&P Global Ratings and Fitch.

The bank’s $3bn EMTN programme has been assigned a ‘AA-’ issuer rating by Fitch. The order book for the bond issue reached over $3bn, and was 4 times oversubscribed. The bank’s debut $750m bond, issued in 2019, was also 4.7 times oversubscribed. The investor base for the latest bond issue included 34 per cent from the Middle East, 36 per cent from the...read more...