Dubai: Anticipation of another round of quantitative easing by the US Federal Reserve and an increased appetite for emerging market paper is pushing more Gulf entities to the global bond market in the fourth quarter of this year.
At least four companies said they were looking at raising more than $2 billion from bond issues in this quarter.
But yields were expected to remain high, which would attract global investors, analysts said.
Abu Dhabi Islamic Bank (ADIB) indicated it may raise up to $750 million from its benchmark-sized Islamic bond sale after the price guidance was widened from 200 to 235 basis points over midswaps, according to people close to the transaction.
The order book was already in excess of $2 billion, they said.
The bank has mandated Barclay's Capital, HSBC and Standard Chartered for the benchmark sukuk.
International Petroleum Investment Company (IPIC) is expected to start road shows on October 31 for its own dollar bond issue, a banker said. The roadshow would target fixed-income investors in the UAE, Asia, Europe and the US.
IPIC has mandated Goldman Sachs as the global coordinator.
Oman's Mohammad Al Barwani Petroleum Services has mandated Barclays Capital, HSBC and Standard Chartered Bank as joint bookrunners for a $350 million senior notes issue, a banker said.
The bond is expected to be launched after an investor roadshow in Asia, the UAE, Europe and the US, that began yesterday.
Qatar National Bank (QNB) confirmed hiring banks to manage the sale of a dollar-denominated bond, the lender said in a stock exchange filing.
QNB said it hired Barclays Bank, BNP Paribas, Standard Chartered, JPMorgan Chase and QNB Capital to manage the sale, which could be on November 3.
In September and early October, several regional companies hit the bond market. Qatar Islamic Bank raised $750 million from a sukuk issue, followed by the Government of Dubai.
— With inputs from agencies