Commercial Bank of Dubai sells $600mln in perpetual bonds

CBD gave initial price guidance of around 6.375% for the Additional Tier 1 (AT1) bonds

  
A man cleans the windows of a branch of the Commercial Bank of Dubai on Baniyas Road in Dubai February 6, 2012.

A man cleans the windows of a branch of the Commercial Bank of Dubai on Baniyas Road in Dubai February 6, 2012.

REUTERS/Nikhil Monteiro

DUBAI- Commercial Bank of Dubai has sold $600 million in perpetual bonds that are non-callable for six years at 6% and received more than $1.2 billion in orders for the debt sale, a document showed on Monday.

CBD gave initial price guidance of around 6.375% for the Additional Tier 1 (AT1) bonds earlier on Wednesday, according to a document issued by one of the banks leading the deal and seen by Reuters.

AT1 bonds, the riskiest debt instruments banks can issue, are similar to equities in that they have no maturity date, but lenders can call them after a specified period.

Citi, Standard Chartered, Barclays, Emirates NBD, First Abu Dhabi Bank and Nomura 9716.T arranged the deal.

(Reporting by Yousef Saba; Editing by Alex Richardson) ((Yousef.Saba@thomsonreuters.com; +971562166204))

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