Tourism Development and Investment Company (TDIC), a master developer of major cultural, residential and tourism destinations in Abu Dhabi, launched its US$1bn bond representing its inaugural issuance under the US$3bn Global Medium Term Note (GMTN) Programme.
The issue of notes attracted substantial interest from global investors, with a total order book exceeding US$6bn from approximately 300 investors. The final allocation of TDIC's US$1bn five year issue was priced at 390 bps over US Treasuries, a company press release said today.
This bond issue is the first drawdown under TDIC's US$3bn GMTN Programme, the proceeds of which will be used for general corporate funding purposes. TDIC's bond issue pays a 6.50% coupon, with a re-offer price of 99.668, yielding 6.579%, equivalent to a spread of 390 bps over US Treasuries TDIC's bonds, which mature in July 2014 were allocated as follows:- US investors received 30% of the notes, European investors 36% of the notes, with 23% of the notes being allocated to the Middle East and 11% to Asia.
The notes were offered by a syndicate of Arrangers and Bookrunners, namely BNP Paribas, Citi, HSBC and Standard Chartered Bank. These Arrangers and Bookrunners together with Abu Dhabi Commercial Bank and National Bank of Abu Dhabi were mandated to act as Joint Lead Managers. Allied Investment Partners acted as the General Financial Adviser to TDIC.
Earlier this year, TDIC was assigned AA status by three major credit ratings agencies, Moody's, Standard '&' Poor's and Fitch Ratings, which accredited TDIC with high investment grade ratings - Aa2, AA, and AA respectively.
The New York-based Moody's Investors Service assigned a foreign currency rating of Aa2 with a stable outlook to the Programme. Both Fitch and Standard '&' Poor's Ratings Services assigned 'AA' long term credit ratings to TDIC's programme. This is in line with TDIC's ratings, which were assigned in March 2009 with a stable outlook. TDIC's issuer ratings are aligned with those of the government. – Emirates News Agency, WAM
RELATED ARTICLES
Largest Abu Dhabi Ambassador Programme gets underway - 09 February 2012
Wetlands Tourism A Great Experience - 08 February 2012
Abu Dhabi-Tokyo Investment Forum launched in Tokyo - 07 February 2012
Abu Dhabi to kick off investment show in Tokyo - 05 February 2012
UAE investment in Pakistan at US$21 billion: UAE envoy - 25 January 2012
RETURN TO MAIN NEWS PAGE | WAM
UP TO THE MINUTE NEWS
Home
