Emirates NBD gets $3b bids for five-year bond

Dubai:  Emirates NBD has received $3 billion (Dh11 billion) in bids from 205 investors for the $1 billion dollar bond it sold on Wednesday, a banker familiar with the transaction said.

Investors from the Middle East and North Africa comprised 49 per cent of buyers in the five-year notes, the banker said, declining to be identified because the information is private. Some 19 per cent of investors were from Asia, 15 per cent from Europe, 14 per cent from the UK and three per cent from offshore US, the banker said.

Banks and retail investors bought 54 per cent of the bonds, while funds purchased 33 per cent, insurance companies and central banks 6 per cent, hedge funds 4 per cent and others 3 per cent, the person said.

Mid-swap rate

Emirates NBD's note was priced to yield 337.5 basis points above the mid-swap rate, and pays interest of 4.625 per cent, according to data compiled by Bloomberg. Bank of America Merrill Lynch, Deutsche Bank AG, HSBC Holdings Plc, National Bank of Abu Dhabi and Emirates NBD Capital Ltd. managed the sale.