Abu Dhabi Ports, rated A+ (stable) by S&P and A+ (stable) by Fitch, has successfully issued a $1 billion bond under its recently established Euro Medium Term Note Programme (EMTN Programme) for a tenure of 10 years which will be jointly listed on the London Stock Exchange (LSE) and Abu Dhabi Securities Exchange (ADX).
The issuance was more than 4.5 times over-subscribed at its peak. The Notes mature on May 6, 2031 and carry a coupon of 2.5% annually.
Proceeds will be used for general corporate purposes and debt refinancing. The settlement of the offering is expected to occur on May 6, 2021 and is subject to customary settlement conditions.
Citi, First Abu Dhabi Bank and Standard Chartered Bank acted as Joint Global Coordinators for the transaction along with HSBC, Mizuho and Societe Generale as active joint lead managers and joint bookrunners and BNP Paribas, Credit Agricole CIB and SMBC Nikko acted as passive joint lead managers.
On the key achievement, Chairman Falah Mohamed Al Ahbabi said: "We are delighted by the strong global investor response to our first issuance under our recently established EMTN Programme, which reflects international confidence in the strength of our business and our strategy, as well as universal belief in the vision of the UAE’s leadership and the stability of our economy."
"Since its establishment, Abu Dhabi Ports has been fully aligned with the long-term vision of the Abu Dhabi Government, playing a pivotal role in the growth of the emirate and facilitating international trade. Today’s announcement will support both our plans for development and the wider economic diversification programme of the UAE, he added.
Group CEO Mohamed Juma Al Shamisi said: "Abu Dhabi Ports’ strategy is to become a top global integrated trade enabler, ranking alongside the most important hubs in the world to facilitate the growth of international trade."
"The success of this first issuance under our recently established EMTN Programme is another important step in our prudent financial strategy that underpins our long-term vision for growth," he stated.
"Following two days of investor meetings, the global investor response to Abu Dhabi Ports’ first joint Note Programme on the London Stock Exchange and Abu Dhabi Security Exchange has been very strong, with the issuance more than 4.5 times over-subscribed at its peak with orders placed by over 200 institutional investors from 35 countries, including sovereign wealth funds, central banks, insurers, corporate treasuries and asset managers," he added.-TradeArabia News Service