ABBL

On 5 December 2011, the Luxembourg Stock exchange admitted to trading a Bond issued by the State of Qatar, for a total amount issued of 5 billion US dollars.


The issue is split in three tranches:
 

• USD 2,000,000,000 at 3.125% and due 2017
• USD 2,000,000,000 at 4.50% and due 2022
• USD 1,000,000,000 at 5.75% and due 2042

The international Bond sale attracted investor orders in excess of 9 billion US dollars and is the biggest deal from the Gulf this year.

The net proceeds received by the State of Qatar from the issue of the bonds will be used for the general funding purposes of the State, including: funding various infrastructure investments; funding the continued growth of Qatar’s hydrocarbon sector as well as potential investments in the international oil and gas industry; and providing funds for entities that are owned or controlled by the State.

The State of Qatar is a regular issuer of bonds listed on the Luxembourg Stock exchange. Currently, there are ten different bonds listed, the first listing dating back to 2000.

In addition, the State of Qatar listed Trust Certificates issued by Qatar Global Sukuk on the Luxembourg Stock exchange in 2003. In 2010, Qatari Diar Finance, the property agency of Qatar’s sovereign wealth fund listed 2 tranches of bonds, where the proceeds were used to finance real estate projects in Qatar, as part of a shariah-compliant transaction (Murabaha type).

(Source: The Luxembourg Stock exchange)