Thursday, 30 April 2009

Mubadala offers $1.75bn bonds

Mubadala Development, the Abu Dhabi Government’s strategic investment arm, offered US$1.75 billion (Dh6.42bn) in bonds to international investors, just days after publishing its annual report for the first time that disclosed almost Dh12bn in losses.

Bankers familiar with the deal told Reuters that it included $1.25bn in five-year bonds that were likely to pay an interest rate 3.95 percentage points more than the rate on five-year US treasury bonds.

Mubadala will also sell $500 million in 10-year bonds, bankers said, at 462.5 basis points over US treasuries. That would translate into an interest rate of roughly 6.2 per cent on Mubadala’s five-year bonds.

No comments:

Post a Comment