Ipic completes $2.5bn bond issue

18 November 2010

Abu Dhabi state-owned firm completes debut bond issue

Abu Dhabi’s International Petroleum Investment Company (Ipic) has completed a $2.5bn bond issue, split between a $1bn five-year issue and a $1.5bn 10-year tranche.

The deal was 4.4 times oversubscribed, with the five-year bond priced at 195 basis points above five-year US treasuries with a coupon of 3.125 per cent, and the 10-year issue priced at 245 basis points above US treasuries and a coupon of 5 per cent.

The deal is Ipic’s first international bond issue and was arranged by the UK’s HSBC, Royal Bank of Scotland, Standard Chartered, the US’s Bank of America Merrill Lynch and Goldman Sachs, and National Bank of Abu Dhabi.

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