ADCB delays Malaysian bond sale, slashes potential size

DUBAI — Abu Dhabi Commercial Bank (ADCB) has delayed a bond sale priced in Malaysian ringgit and slashed its potential size due to market conditions, Middle East Economic Digest (MEED) reported, citing bankers.

By (Reuters)

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Published: Mon 25 Aug 2008, 12:00 AM

Last updated: Sun 5 Apr 2015, 11:56 AM

ADCB was initially expected to raise as much as 1 billion ringgit ($299.2 million) by selling bonds, but this was reduced to 300 million ringgit "due to the poor market conditions", the London-based weekly reported, citing bankers close to the deal.

The bank was planning to sell bonds in three-year and five-year tranches, MEED said, without clarifying when the sale was first due to take place.

"The bank is expected to wait until after Bank Negara Malaysia has held a meeting to set interest rates on August 25, and ADCB has evaluated the market trends following the meeting," said MEED, which is published late on Friday.

ADCB, Abu Dhabi's third-biggest bank by market value, planned to issue as much as $1.2 billion of bonds in Malaysia and Singapore, sources said in June.

The lender agreed in May to pay $1.23 billion for a 25-per cent stake in Malaysia's fourth-largest lender, RHB Capital in a bid to exploit commercial ties between the Middle East and Asia.

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