Abu Dhabi government-owned International Petroleum Investment Company (IPIC) raised $2.9bn from issuing bonds. They were offered in three tranches and two currencies comprising $750mn of notes with a three year maturity, a €800mn maturing in May 2018 and €850mn maturing in May 2023.
The dollar tranche was priced at 135 basis points (bps) over benchmark mid swaps (with a 1.75% coupon), the 5.5 year bonds at 145 bps over mid swaps (2.375% coupon), and the 10.5 year at 195 bps over mid swaps (3.625% coupon). The coupon is the interest that the bondholder receives. The pricing IPIC secured is low, but would be expected from such a highly rated issuer. (CONTINUED - 266 WORDS)