FAB bucks trend by calling ATI

Abu Dhabi_ Adobe Stock_ 230x150
By Ross Lancaster
05 Jun 2020

First Abu Dhabi Bank (FAB) has decided to call an additional tier one deal, the coupon of which was due to drop in its favour. The move goes against the grain of the borrower's Gulf peers.

FAB announced on Thursday that it was going to call a $750m AT1 that was initially issued in 2015, with a 5.25% coupon. Had FAB not called the note the coupon would have reset to 3.75%.

“This was clearly not an economic decision,” Rula AlQadi, head of group ...

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