Emirates NBD, the UAE’s second-largest bank by total assets, has mandated a potential 10-year fixed-rate kangaroo bond denominated in Australian dollars, targeting benchmark size. The bank is currently gathering Indications of Interest (IoIs) at initial price thoughts (IPTs) around asset swaps plus 195 basis points.
The prospective issue has been assigned an expected rating of A1 by Moody’s and A+ by Fitch, consistent with the bank’s existing credit ratings.
The senior unsecured bond is set with a preliminary coupon of 6.00%, offering a yield of approximately 6.05%.
Emirates NBD Capital, Mizuho, and Nomura have been appointed as joint lead managers and bookrunners for the deal.
This issuance falls under Emirates NBD’s AUD 4 billion Kangaroo Debt Issuance Programme and is scheduled for pricing on 11 June.
In February 2023, Emirates NBD successfully raised AUD 450 million through a 10-year bond issuance carrying a 6.1% coupon.
