GCC

Dubai Islamic Bank priced the year’s first public bond from a Gulf Co-operation Council financial borrower tight to its existing curve on Tuesday thanks to strong demand from regional investors.

Strong demand from yield starved eurozone investors has triggered a flurry of MTNs from Middle-East issuers.

Aabar Investments has signed a €3.6bn loan facility to repay other debt and reduce borrowing costs, with a targeted syndication set to follow.

Dubai Islamic Bank emerged with the year’s first public deal from a Gulf Co-operation Council financial borrower on Tuesday morning.

Dubai Islamic Bank is embarking on a roadshow for a senior dollar sukuk, and looks likely to be the first bank from the Gulf Cooperation Council to enter the public bond markets this year.

International banks have been keenly awaiting a mandate for $10bn of loans for Kuwait National Petroleum Company (KNPC) and this week the borrower said it was starting the financing with local lenders.

Qatar based Ahli bank has established a $1.5bn euro medium term note programme via a special purpose vehicle.

Dubai Holding cancelled an opportunistic buyback of its 2017 bonds after bondholders asked for asked for too high a cash price, according to a banker on the deal.

State-owned Majan Electricity Company is syndicating an Omani riyal and dollar denominated loan, according to bankers.

Saudi Aramco and China Petrochemical Corp (Sinopec) will complete the $4.7bn loan for their joint venture refinery within the next week, according to bankers.

Rating: Baa3/—/—

Bankers pitching to lead the first loan for Saudi Arabia in more than 20 years say the borrower will tussle for tight pricing even though the Gulf’s other sovereigns and blue chips face further downgrades, write Elly Whittaker and Virginia Furness.