By Andy Sambidge
Investment arm says order book four times oversubscribed at $3.25bn.
Bahrain's investment arm, Mumtalakat Holding Company, has announced that it has successfully completed the issuance of a $750 million five year RegS Eurobond.
The issuance, which is the first benchmark corporate USD Eurobond out of Bahrain, follows a six day roadshow covering Asia, Middle East and Europe.
Mumtalakat said in a statement that the order book was more than four times oversubscribed, totalling more than $3.25 billion. The final pricing was at the tight end of guidance, at 300 basis points above benchmark mid-swaps.
Distribution saw a 37 percent allocation to the Middle East, 36 percent to Europe, 20 percent to Asia and seven percent to other investors.
Deutsche Bank, JP Morgan, HSBC and Standard Chartered bank acted as Joint Lead Managers and Bookrunners.
Talal Al Zain, CEO of Mumtalakat, said: “We are very pleased with the exceptional success Mumtalakat achieved for the $750 million bond offering.
"The strong demand generated from more than 230 investors globally is a clear validation not only of Mumtalakat’s strategy, but also the reforms undertaken as part of Economic Vision 2030 and Bahrain’s national strategy.”
Al Zain added: “As the first issuer from the region since the European debt crisis, I am pleased at the role we have played in helping to re-open the regional debt capital markets, and in establishing a solid corporate benchmark for issuers from the Kingdom of Bahrain.”