Commercial Bank of Dubai (CBD) will price its debut international bond on Tuesday after releasing final price guidance for a US$500 million deal, a statement from lead managers said.
The five-year bond will price at 260 basis points over midswaps, plus or minus 10 basis points, the leads said.
The pricing guidance has tightened from the 275 bps over midswaps figure initially given on Monday, showing there is good demand from investors for the bond. The issue was 3.5 times covered, according to the statement.
CBD, rated A- by Fitch, has mandated Citigroup, HSBC Holdings and National Bank of Abu Dhabi to arrange the bond, which follows a series of fixed income investor meetings that ran from May 9 to 13.
* Reuters
