(Adds bond size, updated pricing, context)
DUBAI Feb 24 Abu Dhabi Commercial Bank
has set final terms for a $750 million five-year bond
which will price later on Monday, a document from lead arrangers
said, as demand among international investors for Gulf paper
The transaction will price at the tight end of revised
guidance of 140-145 basis points over midswaps, according to the
At the time of revised guidance being issued, investors had
placed orders worth more than $2.25 billion for the bond.
Pricing guidance had initially been earmarked as between 150
and 155 basis points over midswaps, lead managers had said
earlier on Monday.
Demand for paper from Gulf issuers has been significant in
the deals seen so far in 2014, helped by political and economic
instability in other parts of the world - such as Turkey -
funnelling money to perceived safe-havens like the Gulf.
The limited number of deals from the region so far this year
has also bolstered demand for the ones that have priced.
Earlier this month, Dubai Investments Park received orders
worth $4 billion for its debut $300 million sukuk, while Kuwait
Projects Company secured bids worth $3 billion from
investors for its $500 million offering in January.
ADCB, Abu Dhabi's third-largest lender by market value, has
chosen Bank of America-Merrill Lynch, Barclays,
ING and JP Morgan Chase to arrange its
It is the bank's first public debt trade since it printed a
$500 million floating rate note, due to mature in January 2017,
(Reporting by Abhinav Ramnarayan; Writing by David French;
Editing by Olzhas Auyezov)