Middle East Bonds

The Emirate of Sharjah sold a $750m inaugural sukuk to a $7.8bn order book on Wednesday. The borrower brought in a host of conventional accounts in addition to a strong local bid, and watched its bond tighten 6bp in the secondary market despite pricing some 20bp-45bp inside the curves of regional comparables, according to debt bankers on the deal.

The Kingdom of Bahrain set a benchmark for its borrowers to follow when it issued the country’s first 30 year bond this week. Movements in the underlying US Treasury market sidelined some emerging market accounts but a final book of almost $6bn ensured a minimal new issue premium for a bond providing an important reference point for Bahraini project finance.

Abu Dhabi Commercial Bank returned to the dollar market on Tuesday and made a 50bp saving at the five year part of its curve. Middle Eastern spreads have come flying in over the past year and bankers said that the bond came at the tightest possible level.

The Emirate of Sharjah sold a $750m inaugural sukuk off a $7.8bn order book on Wednesday. The borrower brought in a host of conventional accounts in addition to a strong local bid, and watched its bond tighten 6bp in the secondary market despite pricing some 20bp-45bp inside the curves of regional comparables, according to debt bankers on the deal.

Emirates NBD launched a $500m perpetual bond on Wednesday afternoon having received over $1.3bn in orders for the old-style Basel II compliant note.

The Kingdom of Bahrain will price its 30 year transaction at a yield of 6% on September 10. The offering is the first dollar bond from the country this year.

The Emirate of Sharjah sold a $750m inaugural sukuk off a $7.8bn order book on Wednesday. The borrower brought in a host of conventional accounts in addition to a strong local bid, and watched its bond tighten 6bp in the secondary market despite pricing some 20bp-45bp inside the curves of regional comparables, according to debt bankers on the deal.

Abu Dhabi Commercial Bank returned to the dollar market on Tuesday and made a 50bp saving at the five year part of its curve. Middle Eastern spreads have come flying in over the past year and bankers said that the bond came at the tightest possible level.

The Kingdom of Bahrain was on track to price the first dollar bond from the country this year on Tuesday, having released initial price thoughts for a 30 year bullet bond on Tuesday at low 6%.

Emirates NBD announced on Tuesday a new tier one perpetual offering. However, the bond will not be Basel III compliant and therefore will not have a point of non-viability (PONV) feature.

The Emirate of Sharjah opened books on a 10 year debut sukuk on Tuesday morning with the aim of pricing a benchmark deal on Wednesday. Some investors are expecting the issuer to price back of main comparable Ras Al-Khaimah (RAK), but Sharjah’s superior credit quality means a premium over RAK may not be necessary, said a debt banker on the deal.

Islamic Development Bank (IsDB) has picked lead managers for its next sukuk deal and will finish investor meetings on September 17 — giving the market all the mandates it needs for September to smash the previous record for monthly sukuk sales.