#AbuDhabi's Taqa raises $1.5bn through bond sale to fund growth | The National

Abu Dhabi's Taqa raises $1.5bn through bond sale to fund growth | The National

Abu Dhabi National Energy Company, or Taqa, raised $1.5 billion through a dual-tranche bond issue to fund its low-carbon growth plans and buy back some of its outstanding corporate bonds.

The company raised debt through two $750 million tranches. A seven-year note has an interest rate of 2 per cent, the lowest Taqa has achieved on its bond sales, the company said in a statement on Sunday to the Abu Dhabi Securities Exchange. A longer 30-year tranche has a coupon rate of 3.4 per cent and is Taqa’s first Formosa bond, listed jointly in Taipei and London to tap demand from Taiwanese investors.

“The strong demand from global credit markets and investors from around the world is a … vote of confidence in Taqa’s strengthened financial profile as well as the company’s strategy to become a low-carbon power and water champion in the UAE and beyond,” Jasim Husain Thabet, Taqa’s group chief executive, said.

“I am confident that we will continue to go from strength to strength, demonstrating why Taqa, and the utilities sector in the UAE, is a compelling opportunity for investors.”