Bank of Sharjah acts as joint lead manager & bookrunner
The Government of Sharjah has accomplished a significant milestone by issuing a $750 million 12-year US dollar-denominated 144A/Reg S senior unsecured sustainable bond.
The issuance witnessed remarkable investor interest, with an order book exceeding $4 billion, indicating strong demand and confidence in Sharjah’s creditworthiness. Priced with a spread of 195 basis points over US Treasuries, tighter than the initial guidance of 235 basis points, it reflects robust appetite from international investors, constituting 67% of total demand.
Bank of Sharjah, a leading commercial bank in the UAE, played a pivotal role as a joint lead manager and bookrunner in this successful bond issuance, alongside other international and regional banks.
Mohamed Khadiri, CEO of Bank of Sharjah, expressed honor in contributing to this landmark bond issuance, emphasizing the bank’s commitment to facilitating strategic, high-quality capital market transactions in Sharjah and the UAE.
Khadiri highlighted the overwhelming response from investors leading to the tightening of the spread, signifying confidence in Sharjah’s credit and Bank of Sharjah’s expertise in capital markets. He underscored the bank’s dedication to providing sustainable financing solutions amid increasing demand, emphasizing its support for Sharjah’s sustainability journey.
This successful deal reinforces Sharjah’s prudent fiscal management and strong economic fundamentals, while also highlighting Bank of Sharjah’s commitment to ESG principles and sustainable financing. It sets a precedent for other governments and corporates to prioritize sustainable practices, aligning their operations with global sustainability benchmarks and driving positive change.
