ADCB Launches Inaugural Singapore Dollar Bond Via Standard Chartered

Abu Dhabi Commercial Bank (ADCB) has launched a S$80 million Floating Rate Note issue last week. Standard Chartered Bank is the sole lead manager of this issue. The S$80 million issue matures in December 2006 and will be senior obligations

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Abu Dhabi Commercial Bank (ADCB) has launched a S$80 million Floating Rate Note issue last week. Standard Chartered Bank is the sole lead manager of this issue.

The S$80 million issue matures in December 2006 and will be senior obligations of ADCB. The notes are issued off ADCB’s US$2,500,000,000 Euro Medium Term Note Program established in June 2005. The program is rated Aa3/A- by Moody’s and Standard & Poor’s respectively. This is the highest rating given to any instrument from a bank in the Middle East.

This transaction is an important milestone in the development of the Singapore bond market as it is the first S$ bond offering by a Middle Eastern issuer.

Brad Levitt, group head, capital markets, Standard Chartered, said, “Standard Chartered is honored to be able to bring ADCB as the first Middle Eastern issuer to the S$ bond market. We are confident that investors will see it as an excellent opportunity to further diversify their portfolio into a premium Middle Eastern credit. The timing of this transaction is ideal due to the growing awareness of the UAE amongst the investors in Singapore and we hope that it paves the way for more Middle Eastern issuers here.”

“The S$ Notes issue represents a diversification from ADCB’s traditional funding sources into a new market. We appreciate Standard Chartered’s efforts to open up a new funding market for us, and at the same time increase our profile in the region,” Eirvin Knox, CEO of ADCB, added.

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