Abu Dhabi Securities Exchange (ADX) has listed 1 billion euros of bonds issued by Emirates Telecommunications Group Company PJSC (Etisalat Group) in two equal tranches maturing in 2028 and 2033. The bonds were more than six times over-subscribed.
Etisalat Group’s 500 million euro 7-year notes mature on 17 May 2028 and carry a 0.375% coupon, while the 12-year 500-million-euro tranche matures on 17 May 2033 and carries a 0.875% coupon. The senior unsecured notes were issued under Etisalat’s Euro Medium Term Note Program and are rated AA- by S&P and Aa3 by Moody’s. Interest rates will be paid out to bondholders annually on 17 May.
The listing of Etisalat Group’s bonds come on the heels of Abu Dhabi Ports’ $1 billion listing earlier this month and the listing in April of 1.1 billion euros of bonds issued by Mamoura Diversified Global Holding, a fully owned entity by Mubadala Investment Company. Increasing the number of listings on the exchange is a target of ADX’s ‘ADX One’ strategy, launched earlier this year with a goal to double market capitalisation over the next three years. First Abu Dhabi Bank has acted as a Listing Agent on Etisalat Group’s Euro bonds on ADX. During 2021, ADX is expecting a total of more than 10 listings and the launch of a derivates market is scheduled for the fourth quarter.
Equity trading on the Abu Dhabi Securities Exchange has increased notably this year, as the exchange’s market capitalization increased 25% during the first quarter to a record AED 936 billion. In the first three months of 2021, the total traded value of stocks bought and sold increased five-fold year on year to AED 107.8 billion and the benchmark ADX index advanced 17.2%. Meanwhile, buying and selling by institutional investors increased significantly to AED 92.6 billion in value, from AED 14.6 billion, while trading by retail investors more than doubled to AED 15.1 billion.
