Doha, Qatar: The Commercial Bank (P.S.Q.C.), one of the leading banks in Qatar, successfully priced its inaugural international USD 500M PNC5 AT1 issuance at a yield of 4.50%. This is the largest size issuance for an AT1 out of Qatar.To support the issue, senior representatives from Commercial Bank conducted a two-day virtual roadshow with 15 hours of video conferences to more than 30 large global investors. The transaction was announced on February 24th with strong investor reception across Asia, Europe, and Middle East. The deal gained immediate traction and the order book was in excess of USD 1.1 bn and was priced at yield of 4.50%.High quality investors from the global community participated in the transaction with the majority of the investors from UK (30%), Europe (30%), MENA (26%), and Asia (10%). The investor base was diversified amongst Fixed Income Asset Managers, Pension Funds and Insurance companies along with significant participation from Swiss private banks.Commenting on the transactions, Commercial Bank Group CEO, Mr Joseph Abraham said: ‘’This AT1 USD 500 million transaction is one of the largest from the region from a financial institution and we are delighted by the Investor response.
The market demand and attractive pricing is clear indication of the strong confidence of international investors in the strength and economic stability of Qatar and confidence in Commercial Bank’s strategy, financial strength, prudent approach and strong execution capability.”The Reg S only Perpetual Tier1 Non call 5-year issue was arranged by Credit Suisse Securities (Europe) as Global Coordinator along with Joint Lead Managers Barclays, Deutsche Bank, HSBC, JP Morgan and QNB Capital.Ends.