DUBAI, June 17 Commercial Bank of Qatar
set final price guidance for its benchmark-sized,
five-year, U.S. dollar bond offering in the range of 117 to 120
basis points over mid-swaps, a document from lead arrangers
showed on Tuesday.
The lender, rated A1/A-/A by international rating agencies,
had earlier tightened the pricing to 120-125 bps over mid-swaps
after setting initial price thoughts in the area of 135 bps
earlier in the day. The book is slated to close later on
Commercial Bank of Qatar has gathered more than $3 billion
in orders for its bond sale so far, the document showed.
The bank has around $1 billion of bonds maturing in November
this year, and bankers expect the firm to refinance at least a
part of those bonds.
"It would not be a surprise that the bank raises $1 billion
to keep its current liquidity untouched given the favourable
market conditions to issue bonds," a banker said on condition of
anonymity as he is not allowed to speak to the media.
Bank of America-Merrill Lynch, HSBC and
Morgan Stanley are arrangers of the bond sale, for which
investor meetings concluded on Monday.
Traditionally, benchmark size is understood to mean at least
The bank follows a string of United Arab Emirates borrowers
accessing the international debt market as favourable market
conditions have pushed borrowing costs to record lows.
Issuance is however expected to taper off ahead of the holy
Muslim fasting month of Ramadan, which starts at the end of
(Reporting by Archana Narayanan; Editing by Andrew Torchia)