Emirates News Agency – “Etisalat Group” issues bonds worth one billion euros

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ABU DHABI, May 9th, 2018 (WAM) – “Etisalat Group” announced that it has successfully completed a bond issuance process worth one billion euros to refinance the slice of bonds due it issued in 2014 to finance the acquisition of a controlling stake in Maroc Telecom.

The group issued the bonds in two tranches: the first tranche for a period of 7 years at a value of 500 million euros, at an annual interest rate of 0.4%, and the second tranche for a period of 12 years at a value of 500 million euros, and at an annual interest rate of 1%.

The refinancing decision aims to diversify the company’s financial sources, extend the period of scheduling the payment of existing debts, and benefit from improving the cost of financing, in a manner that creates added value for shareholders.

The bond issuance process witnessed great success, represented by the strong demand by local and international investors to subscribe, which exceeded the value of the bonds issued by “Etisalat Group” by 6 times.

This increased demand for bonds reflects investor confidence in the performance of Etisalat Group, the strength of its financial business portfolio, and its credit rating, which scored Aa3 / Stable / Moody’s /, AA- / Stable / S&P Global /, and is considered one of the highest Rankings in the telecom sector, and this application also highlights the growing confidence of international investors in the UAE’s economy.

-Ahmed-

WAM / Ahmed Al-Nuaimi / Ahmed Al-Boutli





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