Abu Dhabi's TAQA gives initial guidance for dollar bonds - document

BY Reuters | CORPORATE | 04/20/21 01:31 AM EDT

DUBAI, April 20 (Reuters) - Abu Dhabi National Energy Company (TAQA), owned by Abu Dhabi state-owned holding company ADQ, has given its initial price guidance for dual-tranche U.S. dollar-denominated bonds, a document showed on Tuesday.

It gave initial guidance of around 110 basis points over U.S. Treasuries for a seven-year tranche and around 3.75% for a 30-year Formosa portion, the document showed.

Formosa bonds are sold in Taiwan by foreign borrowers and are denominated in currencies other than the Taiwanese dollar.

Citi and HSBC (HSBC) are global coordinators and Bank of China (BACHF), First Abu Dhabi Bank, Mashreq, Mizuho and MUFG are also on the deal, which is expected to close later on Tuesday. (Reporting by Yousef Saba; Editing by Krishna Chandra Eluri)

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Lower-quality debt securities generally offer higher yields, but also involve greater risk of default or price changes due to potential changes in the credit quality of the issuer. Any fixed income security sold or redeemed prior to maturity may be subject to loss.

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