Qatar's Dukhan Bank gives initial guidance for dollar AT1 sukuk - document

Citi, Credit Suisse, JPMorgan, KFH Capital, QInvest, QNB Capital and Societe Generale are arranging the deal

  
U.S. one dollar banknotes are seen in this illustration taken February 8, 2021.

U.S. one dollar banknotes are seen in this illustration taken February 8, 2021.

REUTERS/Dado Ruvic/Illustration

DUBAI - Qatar's Dukhan Bank is expected to sell $500 million in Additional Tier 1 (AT1) Islamic bonds, for which it has given the initial price guidance of around 4.375%, a document showed on Wednesday.

The size of the issuance will not grow, according to the document from one of the banks on the deal, which is expected to be launched later in the day.

Citi, Credit Suisse, JPMorgan, KFH Capital, QInvest, QNB Capital and Societe Generale are arranging the deal.

AT1 bonds, the riskiest debt instruments banks can issue, are designed to be perpetual in nature but issuers can call them in after a specified period. Dukhan's sukuk will be non-callable for five-and-a-half years.

(Reporting by Yousef Saba; Editing by Jacqueline Wong) ((Yousef.Saba@thomsonreuters.com; +971562166204; https://twitter.com/YousefSaba))


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