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Qatar has secured tight pricing on its dual-tranche international offering comprising a $1 billion 3-year senior unsecured bond and a $3 billion 10-year sukuk reflecting strong investor confidence.
The conventional bond carries a coupon of 3.625% and was reoffered at US Treasuries plus 15 basis points, yielding 3.759%. The initial price thoughts (IPTs) were at UST+45 bps.
The sukuk offers a profit rate of 4.25%, priced at T+20 bp for a yield of 4.308%, tightening from IPTs of T+55bps.
The order book peaked at $13.5 billion before settling at $11.25 billion. The 3-year bond saw books at $2.5 billion (including $100 million in JLM interest), while the 10-year sukuk was at $8.75 billion (including $100 million in JLM interest).
Earlier this year in February, Qatar raised $3 billion in a dual-tranche issuance with tight pricing.
The emirate of Abu Dhabi set a benchmark for EM markets in September 2025, achieving its tightest bond pricing with a $3 billion issuance achieving spreads of just T+10bps for its three-year tranche and 18bps for its 10-year tranche.
(Writing by Brinda Darasha; editing by Seban Scaria)
