National Bank of Abu Dhabi (NBAD) has won Global Capital’s “CEEMEA Financial Institution Deal of the Year” award for its $750 million 5.25% perpetual note which it issued in June 2015. The deal set a record for the lowest coupon ever achieved on a perpetual issue by an issuer from the Central & Eastern Europe, Middle East and Africa Region (CEEMEA).
NBAD’s deal was seen as particularly successful given it was launched at a time of heightened market volatility and where western European banks were generally struggling to execute similar transactions. The deal was well supported by both Regional and International investors and ultimately approximately two thirds of the Bond were placed internationally.
At the time of announcing the award Global Capital added “NBAD has a strong record for pricing deals that perform well in the secondary market – traditionally an issue for Middle Eastern perpetuals. This deal was no exception and traded up in the secondary market after pricing at a level that rival bankers deemed fair”.
Global Capital selected standout bond issues of 2015 from across the emerging market, public sector, financial institution and corporate bond markets. Selections are made based on several key criteria, including trades that will be remembered for their success in challenging conditions, for making the best use of the demand available to them, or for having a longer lasting impact.
Stephen Jordan, NBAD’s Group Treasurer stated “NBAD is very appreciative of Global Capital’s recognition of this very successful transaction during some challenging market conditions. The transaction was very well received from a Broad range of Global Investors and it was naturally pleasing to set a record low coupon for the CEEMEA Region”.
According to the financial news service, 2015 was a very disappointing year for CEEMEA bonds due to political issues in the region, falling oil prices and the threat of a hiccup from US Federal Reserve rate rises. “There were brief windows of opportunity but to use those windows, last year’s borrowers in the CEEMEA region – and their lead managers – needed to be nimbler, more decisive and smarter than usual to get successful deals away”, Global Capital's editorial team said.