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NBK starts selling dollar senior bonds - document

Finance Kuwait City 11 Sep 21
NBK starts selling dollar senior bonds - document
National Bank of Kuwait has given initial price guidance for six-year U.S. dollar-denominated bonds of around 115 basis points over U.S. Treasuries.
Fee
Event Location
Kuwait, Kuwait
Area
Kuwait City
Start Time
11 September 2021, 12:00 AM
End Time
30 September 2021, 12:00 AM
Website

After a characteristic summer lull, Gulf debt markets have geared up to resume a spate of bond deals from banks so far this year, as they have taken advantage of low rates to raise cash as well as boost tier 1 capital.

National Bank of Kuwait, the Gulf country’s largest lender, has hired banks to arrange the sale of U.S. dollar-denominated six-year bonds that will be non-callable for five years, a bank document showed on Tuesday.

Citi (C.N), JPMorgan (JPM.N) and NBK Capital are mandated as joint global coordinators. BofA Securities (BAC.N), Goldman Sachs International (GS.N), HSBC (HSBA.L), MUFG (8306.T) and Standard Chartered (STAN.L) will act as joint lead managers and bookrunners, the document from one of the banks showed.

The bonds will be non-callable for five years and are expected to launch later on Thursday. They will arrange investor calls starting on Tuesday, to be followed by a benchmark issuance of senior unsecured paper, subject to market conditions. Benchmark size typically means at least $500 million.

NBK in February sold $700 million in Additional Tier 1 bonds, the riskiest debt instruments banks can issue that are designed to be perpetual in nature but can be redeemed after a specified period.

In November, it raised $300 million in 10-year Tier 2 bonds.


Kuwait banking news 2021NBK selling dollar senior bonds



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