QNB Capital acts as global coordinator on Qatar’s $3bn dual-tranche bond issuance

QNB Capital played a pivotal role in facilitating Qatar's $3 billion bond issuance in the international debt capital markets. The issuance, priced on September 21, consisted of a $1 billion five-year bond and a $2 billion ten-year bond, generating strong investor demand that surpassed $6 billion in total orders. The five-year tranche was offered at a 55 basis point premium over US Treasuries, while the ten-year tranche carried a 65 basis point premium.

The five-year bond, with a 5.25% coupon and a yield to maturity of 5.38%, saw orders exceeding $2 billion, while the ten-year bond, with a 5.375% coupon and a yield to maturity of 5.613%, attracted orders exceeding $4 billion. These figures were more than double the amounts issued, demonstrating the strong investor appetite for the bonds.

The issuance's success in pricing with a mere five basis points premium above fair value underscored the robust international investor confidence in Qatar's economy and credit fundamentals.

QNB Capital's Chief Executive Officer, Abdulla Mubarak Al Khalifa, expressed pride in supporting Qatar's successful execution of the bond issuance. He highlighted the transaction as a testament to QNB Group's expertise in the debt capital markets, combined with its extensive international network and relationships with global investors.

The bond issuance was co-led by QNB Capital alongside JP Morgan, HSBC, Standard Chartered Bank, and Goldman Sachs, with Santander, Crédit Agricole Corporate and Investment Bank, Deutsche Bank, Mizuho, MUFG, and SMBC serving as joint bookrunners. The transaction further solidified QNB Capital's reputation in sovereign and institutional debt capital markets and its role in assisting Qatar and its clients in accessing international capital markets.