The money network:

The money network:

Why crowdfunding threatens traditional bank lending

The truth about Asian investment banking

April 2006

Debt capital markets: NBAD takes convertible step

The UAE capital markets received a boost last month when National Bank of Abu Dhabi (NBAD) issued a Dh2.5 billion ($680 million) tier 2 convertible bond through a private placement. It is the first time this type of hybrid security has been issued in the UAE.


The deal provides tier 2 capital to the bank and gives bondholders the right but not the obligation to convert the bonds into shares at a preordained price.

Local investors were the bonds’ biggest buyers, accounting for 70% of the paper. Another 4% was placed with Gulf investors outside the UAE, while the rest was bought by non-Gulf accounts, predominantly in Europe. With the dirham pegged to the dollar at...


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