MIDEAST DEBT-Saudi's ACWA expected to offer sizeable spread on $1 bln project-linked bond | Reuters

MIDEAST DEBT-Saudi's ACWA expected to offer sizeable spread on $1 bln project-linked bond | Reuters:
"Saudi Arabia's ACWA Power (IPO-ACWA.SE) is expected to offer a hefty spread on its planned $1 billion bond offer, partly because of market volatility since the U.S. elections and a narrowing issuance window, bankers and investors said.

ACWA, in which Saudi sovereign entities hold a combined 16.3 percent stake, is set to be the first international bond from the kingdom since the government's mammoth $17.5 billion debt sale in October, Riyadh's first issue.

The huge success of the sovereign issue showed there is strong demand for Saudi debt, especially from Asian and U.S. investors. But market volatility, and the complexity and long maturity of ACWA's proposed bond structure, mean it may not issue cheaply."

'via Blog this'