Dubai:
The Abu Dhabi National Oil Company (Adnoc) said the units $3 billion (Dh11 billion) bond issue was oversubscribed three and a half times, indicating massive demand from both international and regional investors.
The bond, that was offered in two tranches, consisted of $837 million 12-year bullet bond, and $2.2 billion, 30 year bond with a coupon rate of 3.65 per cent and 4.6 per cent respectively.
“The very attractive pricing and substantial international demand for this offering positively reflects the UAE’s stable investment environment, as well as ADNOC’s new and progressive approach to its long-term financing strategy,”
Dr Sultan Ahmad Al Jaber, UAE Minister of State and ADNOC Group CEO said in a statement.
The 12-year tranche was allocated to mostly European and US investors, while only 9 per cent was allocated to Asian or Mena investors.
About 70 per cent of the allocation was made to fund managers, and 22 per cent to agencies, pension funds among others.
The final geographic allocation for the thirty year tranche was 10 per cent to Asian investors, 35 per cent to European investors, 51 per cent to US investors and 4 per cent to investors from the MENA region.
Proceeds from the issuance will be used by ADNOC to support its ambitious future growth and investment plans.
First Abu Dhabi Bank, HSBC, JP Morgan and MUFF acted as global coordinators and joint bookrunners. BNP Paribas, Citigroup, Mizuho Securities, Société Générale and Standard Chartered Bank acted as Joint Lead Managers. Moelis & Company acted as financial adviser to ADNOC.
