3rd October 2016, Union National Bank P.J.S.C. (“UNB”), rated A+ (stable) by Fitch and A1 (neg) by Moody's , owned 50% by the Government of Abu Dhabi and 10% by the Government of Dubai, successfully priced a USD 600 million 5-year Senior Unsecured Bond . This marks UNB’s return to the international debt capital markets since 2012.
UNB held a set of investor meetings in Dubai, Abu Dhabi, Hong Kong, Singapore, London and Frankfurt commencing on 25th of September 2016. Following strong investor interest, UNB decided to announce a transaction on the 28th of September with initial price guidance of 190bps spread area over the USD 5-year mid-swap rate. On the back of strong orders from investors across the regions, UNB was able to price the transaction at a spread of 170bps over the USD 5-year mid-swap rate and a coupon of 2.750% per annum.
The final allocation was well diversified across 110 investors of both existing and new investors in the UNB credit, with 39% allocated to Middle Eastern investors, 30% to Asian investors, 17% to UK investors, 7% to European investors and 7% to others. The order-book was 3 times oversubscribed demonstrating the strong investor appetite for UNB’s credit.
ANZ, Commerzbank, HSBC, Mizuho, National Bank of Abu Dhabi and Standard Chartered Bank were joint lead managers and joint bookrunners on the issue.
-Ends-
About UNB
Established as a Public Joint Stock Company in 1982, UNB is one of the leading domestic banks in the United Arab Emirates, headquartered in Abu Dhabi. UNB offers a variety of products and services, addressing needs ranging from basic requirements of individuals to the more complex requirements of corporate entities.
For more information
Mona Zayati
Corporate Communications Manager – UNB
Tel: +971504108400
Email: mona.zayati@unb.ae
© Press Release 2016
