FINANCIAL NEWS

UAE’s TAQA plans to raise USD1.5bn from bond issue

07 Dec 2011

(MENAFN) Abu Dhabi National Energy Co. (TAQA) said that the company planned to raise USD1.5 billion from a two-part bond issue, reported Arab News.

The state-run company added that the bond would mature in 2017 and 2021, whereas both tranches would be benchmark-sized, adding that the aim of the bond issue was to increase funds to refinance upcoming debt.

On the other hand, the firm said that guidance for the long five-year tranche maturing 2017 was set at 350 basis points (bps) over 5-year US Treasuries and 412.5 bps over 10-year Treasuries for the portion maturing in 2021.

It is worth noting that the government of Abu Dhabi owns 75 percent of TAQA, which is a regular issuer of debt in global markets and benefits from implicit backing from the Abu Dhabi government as one of its strategic firms.

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