Published: January 23, 2013
Emirate’s department of finance returns to international markers to raise combined US$1.25bn.
Dubai has returned to the international debt markets, pricing a US$500mn bond and a US$750mn sukuk on Tuesday night, both of which have been hugely oversubscribed.
The 30-year bond has been priced with a coupon of 5.25%. Emirates NBD, HSBC, National Bank of Abu Dhabi and Standard Chartered Bank are acting as joint bookrunners.
The sukuk, meanwhile, carries a tenor of 10 years and a profit rate of 3.8%. The deal involves the same bookrunners as the bond with the addition of Dubai Islamic Bank, while co-leads are Al Hilal Bank, Barwa Bank, CIB, IDB and SIB.
The orderbook for the bond saw 38% of demand come from the UK, 24% from Europe, 22% from the US, 12% from the Middle East and 4% from Asia. It closed with some US$3.8bn-worth of orders.
The sukuk, meanwhile, attracted 52% of its orders from the Middle East, 26% from the UK, 12% from Europe, 7% from Asia and 3% from the US. The orderbook closed at US$11bn.