ADX Lists 1 Billion Euros Of Bonds Issued By Etisalat Group
Muhammad Irfan Published June 14, 2021 | 01:00 PM
ABU DHABI, (UrduPoint / Pakistan Point News / WAM - 14th Jun, 2021) Abu Dhabi Securities Exchange (ADX) has listed 1 billion Euros of bonds issued by Emirates Telecommunications Group Company (Etisalat) in two equal tranches maturing in 2028 and 2033. The bonds were more than six times over-subscribed.
Etisalat Group’s 500 million euro 7-year notes mature on 17th May 2028 and carry a 0.375 percent coupon, while the 12-year 500-million-euro tranche matures on 17 May 2033 and carries a 0.875 percent coupon.
The senior unsecured notes were issued under Etisalat’s Euro Medium Term Note Programme and are rated AA- by S&P and Aa3 by Moody’s. Interest rates will be paid out to bondholders annually on 17th May.
The listing of Etisalat Group’s bonds come on the heels of Abu Dhabi Ports’ $1 billion listings earlier this month and the listing in April of 1.1 billion euros of bonds issued by Mamoura Diversified Global Holding, a fully owned entity by Mubadala Investment Company.
Increasing the number of listings on the exchange is a target of ADX’s "ADX One" strategy, launched earlier this year to double market capitalisation over the next three years. First Abu Dhabi Bank has acted as a Listing Agent on Etisalat Group’s Euro bonds on ADX. By 2021, ADX is expecting a total of more than 10 listings and the launch of a derivates market is scheduled for the fourth quarter.
Saeed Hamad Obaid Al Dhaheri, Chief Executive Officer of ADX, said, "We welcome the listing of Etisalat Group’s 1 billion euro bond on the ADX as we strive to create a dynamic debt capital markets eco-system and expand funding opportunities for businesses in Abu Dhabi and the wider region. The issuance was six times oversubscribed with high demand from both local and international investors, reflecting growing investor interest in the UAE’s telecoms sector.
"Issuers have become increasingly drawn to the ADX because of the investments we have made in products and services over the past year to meet their requirement. This is reflected in the record market capitalisation ADX reached in the first quarter."
Hatem Dowidar, Chief Executive Officer of Etisalat Group, stated, "The latest EUR 1 billion bond raising exercise has provided Etisalat Group with an opportunity to diversify our sources of capital while taking advantage of the improved cost of funding and listing on the Abu Dhabi Securities Exchange improves flexibility and transparency for Etisalat Group and investors in the debt capital markets. We are pleased with the attractive pricing of our bonds and the significant interest from investors across the region and globally. This robust demand demonstrates the financial strength of our business and the confidence bondholders have in the future of the UAE’s telecoms industry."
Equity trading on the Abu Dhabi Securities Exchange has increased notably this year, as the exchange’s market capitalisation increased 25 percent during the first quarter to a record AED936 billion. In the first three months of 2021, the total traded value of stocks bought and sold increased five-fold year on year to AED107.8 billion and the benchmark ADX index advanced 17.2 percent.
Meanwhile, buying and selling by institutional investors increased significantly to AED92.6 billion in value, from AED14.6 billion, while trading by retail investors more than doubled to AED15.1 billion.
Related Topics
Recent Stories
HEC reviews curricula for environmental sciences degree programme
ICC Asia looking forward to an action-packed Asia Cricket Week
Yuvraj Singh named ICC Men’s T20 World Cup 2024 Ambassador
Greece hands Olympic flame to 2024 Paris Games hosts
Two Kyiv hospitals evacuating over feared Russian strikes
World must act on neurotech revolution, say experts
Charles & Catherine's cancer diagnoses
Champions Alcaraz and Sabalenka through in Madrid Open
King Charles to resume some public duties during cancer treatment: palace
US defense chief announces $6 bn in security aid for Ukraine
Heavy rains cause damage to Spezand-Taftan railway track
Woman stabbed in Israel, attacker killed: police
More Stories From Middle East
-
UAE announces ‘Zero Bureaucracy Program’ to reduce bureaucracy
3 months ago -
COP28 President-Designate welcomes Transitional Committee agreement to operationalise Loss and Damag ..
6 months ago -
Global Media Congress 2023 to feature Co-Production Majlis as a new networking platform
6 months ago -
Young female athletes shine at Abu Dhabi World Youth Jiu-Jitsu Championship
6 months ago -
King of Jordan receives Abdullah bin Zayed and ministers participating in Arab coordination meeting
6 months ago -
Abdullah bin Zayed participates in coordination meeting of Arab foreign ministers, joint meeting wit ..
6 months ago
-
3rd annual conference of Emirates Society of Clinical Microbiology kicks off in Dubai
6 months ago -
SIBF 2023 hosts Nobel laureate to discuss emergence of ‘Afrofuturism’ in global discourse
6 months ago -
ALC announces winners of Kanz Al Jeel Award 2023
6 months ago -
SIBF turns spotlight on remarkable contributions of women
6 months ago -
Global assets in spot bitcoin ETFs hit $4.16 billion
6 months ago -
Rescuers struggle to find Nepal quake survivors as deaths reach 157
6 months ago