UAE Oil Producer Adnoc May Aim for $5 Billion of Bonds This Year




  • In Business
  • 2022-01-26 09:08:30Z
  • By Bloomberg
 

(Bloomberg) -- Abu Dhabi's state energy company plans to raise about $3 billion to $5 billion from a debut bond sale this year, according to people familiar with the matter.

Most Read from Bloomberg

  • Stock Rebound Fails and Futures Plunge on Earnings: Markets Wrap

  • Nvidia Quietly Prepares to Abandon $40 Billion Arm Bid

  • Mark Zuckerberg's Stablecoin Ambitions Unravel With Diem Sale Talks

  • Stocks Storm Back From 4% Rout to Close Higher: Markets Wrap

  • This Red-Hot Housing Market Is Betting Interest Rates Will Never Rise

Abu Dhabi National Oil Co. executives told debt investors during a call on Tuesday that they're considering setting up a multi-year bond program of around $15 billion, said three of the people. The first deal, which will be issued from a new entity called Adnoc Murban, will be used to help refinance the company's existing loans, they said.

Adnoc has about $20 billion of debt, including roughly $5 billion maturing this year, according to data compiled by Bloomberg. The company declined to comment to Bloomberg on its issuance plans.

Abu Dhabi is the capital of the United Arab Emirates, the third-largest producer in the Organization of Petroleum Exporting Countries. The country is trying to use money from energy exports to build new industries such as robotics and artificial intelligence.

JPMorgan Chase & Co. and Morgan Stanley managed Tuesday's call. Adnoc Murban was this week given the third-highest rating of AA or its equivalent by Moody's Investors Service, S&P Global Ratings and Fitch Ratings.

Adnoc Murban will have an annual cash flow of more than $21 billion based on an oil price between $50 and $70 a barrel, Moody's said. Crude has surged around 14% this year to more than $85 a barrel.

Most Read from Bloomberg Businessweek

  • Market Selloff Is Ultimate Test of What's Real and What's Not

  • The Tragicomedy of Boris Johnson Enters Its Final Act

  • The Charismatic Developer and the Ponzi Scheme That Suckered San Diego

  • Venture Investors' $1.4 Billion Bet on News Faces a Reality Check

  • How Did ID.me Get Between You and Your Identity?

©2022 Bloomberg L.P.

COMMENTS

More Related News

BitMEX Founder Hayes Avoids Prison on Bank Secrecy Charge
BitMEX Founder Hayes Avoids Prison on Bank Secrecy Charge
  • US
  • 2022-05-20 23:22:41Z

(Bloomberg) -- BitMEX co-founder Arthur Hayes was spared from prison despite admitting he failed to guard against money laundering at the pioneering...

Retailer Rout Erased $500 Billion, Stirs Worry of More Ahead
Retailer Rout Erased $500 Billion, Stirs Worry of More Ahead

(Bloomberg) -- The wild swings in consumer stocks this week that erased about $500 billion in market value are far from over with earnings reports from well-...

'It's a Buyers Strike': Investors Weigh In on Bear Market Plunge

(Bloomberg) -- From Apple Inc. to Tesla Inc., some of the biggest names in the S&P 500 Index are fueling a relentless selloff that briefly pushed the broad...

S&P 500 Headed for Bear Market as Losses Exceed 20% From High
S&P 500 Headed for Bear Market as Losses Exceed 20% From High

(Bloomberg) -- A two-year run in stocks that began at the depths of the coronavirus panic and became one of most powerful bull markets on record is on the...

Melvin Investors Irate Over Fair-Weather Fund
Melvin Investors Irate Over Fair-Weather Fund's Shutdown

(Bloomberg) -- Melvin Capital Management's traders pocketed hefty performance fees over a half-decade while achieving roughly 30% in annualized gains. Now...

Leave a Comment

Your email address will not be published. Required fields are marked with *

Cancel reply

Comments

Top News: Business