National Bank of Abu Dhabi (NBAD) has announced the successful placement to institutional investors, of an unsecured zero coupon callable 30 year Formosa bond for a total nominal amount of $621 million. The bond will be listed on the Taipei exchange and its settlement is expected by October 21, 2016.
The issuance was initially targeted at a benchmark $250-300 million size but following overwhelming support from Taiwanese investors was upsized to a final amount of $621 million.
The issuance was the first public transaction since the merger announcement, and further demonstrates the Bank’s continuing efforts to diversify the funding base by accessing new investors in new geographies.
Crédit Agricole and HSBC acted as joint book runners with Cathay United Bank Co Ltd as Co-Manager. Citi Group and NBAD acted as structuring agents.
Stephen Jordan, Group Treasurer of NBAD, said, “NBAD is extremely happy with the outcome of this transaction and to again be at the forefront of innovative issuance from the region. The overwhelming participation in this transaction clearly highlights the confidence in the creation of a larger, stronger bank through the merger of FGB and NBAD.”